Isbell Construction Co.

Alp In the Matter Of ISBELL CONSTRUCTION COMPANY and BUILDING TRADES COUNCIL Case No. C-1534.-Decided September 25, 1940 Jurisdiction : construction industry. Settlement : stipulation providing for compliance with the Act Remedial Orders : entered on stipulation. Mr. John Paul Jennings, for the Board. Messrs. Edward F. Lwns f ord and Myron R. Adams, of Reno, Nev., for the respondent. Mr. Harry A. Depaoli, of Reno, Nev., for the Union. Mr. G. F. Ballard, of Reno, Nev., for the Federation. Mr. S. G. Lippman'n, of counsel to the Board. DECISION AND ORDER STATEMENT OF THE CASE Upon charges and amended charges duly filed by Building Trades Council of Reno, Nevada," a labor organization herein called the Union, the National Labor Relations Board, herein called the Board, by the Regional Director for the Twentieth Region (San Francisco, California), issued its complaint dated January 22, 1940, against Is- bell Construction Company, Reno, Nevada, herein called the re- spondent, alleging that the, respondent had engaged in, and was engaging in, unfair labor practices affecting commerce, within the meaning of Section 8 (1), (2), and (3) and Section 2 (6) and (7) of the National Labor Relations Act, 49 Stat. 449, herein called the Act. A copy of the complaint, accompanied by notice of hearing, was duly served upon the respondent, upon the Union, and upon Highway Workers Federation,, herein called the Federation, the labor organization mentioned in the complaint. 1 The name of this labor organization is thus set forth in a certain stipulation and agree- ment of February 29, 1940, as well as in the complaint, both hereinafter mentioned There is some variation in the name as contained in the charges and amended charges. 27 N. L. R. B., No. 99. 472 ISBELL CONSTRUCTION COMPANY 473 Concerning the unfair labor practices, the complaint, alleged, in substance, that the respondent (1) from and after October 1937, while engaged in the construction in Nevada of a highway forming a part of a certain highway known as United States Highway 40; said highway being the main east-west highway in this country, domi- nated and interfered witli the formation and administration of the Federation and contributed financial and other support to it; in that, among other things, (a) the respondent instigated and participated in the formation and organization of said union; (b) its supervisory employees actively participated in and contributed money to said union,; (c) its time and property were used in organizing said union; (d) it granted leave of absence to one Harry Luden, its personnel director, for the purpose of organizing said union; (e) it permitted said union to carry on its activities, including the signing up of members and the collection of dues and assessments, on its time and at the afore-mentioned construction job, in the presence of and with the active assistance of its supervisory employees; (f) it assisted said Luden in organizing said union on behalf of the respondent by arranging for talks to its employees by Louden; (g) it denied to the union and its affiliates rights and privileges equal with those granted to said union; (h) it urged, persuaded, and warned its employees to become and remain members of said union and not to become or remain members of any labor organization affiliated with the Amer- ican Federation of Labor or the Congress of Industrial Organiza- tions; (i) it initiated and secured the adoption of an agreement whereby it recognized said union as the sole collective bargaining ,representative of its employees and required its employees to become and remain members of said union as a condition of employment; and (j) it solicited and provided publicity for said union represent- ing said union to be such collective bargaining representative; (2) coerced Albert Smith on or about October 18, 1938, Charles Holland and R. H. Hitchens on or about October 19, 1938, and Robert Magers on or about October 27, 1938,-into resigning and thereby discharged them, and each of them, solely because of their membership in, sym- pathy toward, and activity on behalf of Local 533 of the Interna- tional Brotherhood of Teamsters, Chauffeurs, Stablemen and Helpers of America, a constituent labor organization ' of the Union, and be- cause of their opposition to and refusal to become or remain members of the Federation, the respondent thereby discriminating in regard to the hire or tenure of employment of said employees and discour- aging membership in said Local 533 and in other, organizations affiliated with the Union, and encouraging membership in the Fed- (ration; (3) interfered with, restrained, and coerced its employees 474 DECISIONS OFD NATIONAL LABOR RELATIONS BOARD in the exercise of their right to self-organization and to freedom-of choice of representatives for the purposes of collective bargaining or other mutual aid and protection (a) by urging; persuading, and warning its employees to refrain from becoming or remaining mem- bers of or assisting or participating in any organization affiliated with the American Federation of Labor orthe Congress of Industrial Organizations; and,(b) by organizing a group of vigilantes composed of its employees, including executives and foremen, together with other individuals; procuring their commission as deputy sheriffs, and arming and assembling said vigilante group on the main highway on the State line between Neveda and California, for the purpose of preventing organizers of International Union of Mine, Mill & Smelter Workers, a labor- organization affiliated with the Congress of Indus- trial Organizations, from entering the State of Nevada for the purpose of organizing employees of the respondent; and (4) by the foregoing acts and each of them interfered with, restrained, and coerced its employees in the exercise of rights, guaranteed in Section 7 of the Act. On February 17, 1940, the respondent filed its answer, in substance denying the jurisdiction of the Board over the subject matter, denying that it "engaged in or was engaging in any of the unfair labor practices alleged in the complaint, setting forth certain averments -by way of affirmative defenses, and praying that the proceedings be dismissed. On February 29, 1940, the respondent, the Union, and counsel for the Board; entered into a certain stipulation and agreement in settle- ment of these proceedings, said stipulation' and agreement, however, -being subject to the approval of the Board. Although not- a party -to the settlement, the Federation filed with the Board simultaneously ' with the filing of said settlement papers, its declaration that it did not, and does not intend to, intervene herein, and that it does not -oppose the entry of an Order by the Board and a Decree by the appropriate United States Circuit Court of Appeals, as in said stipulation and agreement set forth, providing that the Act applies to the respondent and its employees. Said stipulation and agreement of February 24, 1940, provided as follows : IT IS HEREBY STIPULATED AND AGREED, by and between the ISABELL CONSTRUCTION COMPANY, a corporation, hereinafter called the Respondent, BUILDING TRADES COUNCIL, of Reno, Nevada, and JOHN PAUL JENNINGS, attorney for the Nationa I Labor Relations Board: ISBELL CONSTRUCTION CONIPA.NY I 475 That now,. and at all of the times in the Complaint and Answer hereinafter referred to, Respondent was, and now is, engaged in performing jobs such as the hauling of dirt, excavating, and other contracting work, either by the hiring of its equipment and men on said jobs or by contract within the State of Nevada; that its main or principal volume of business is the construction of parts or portions of highways within the State of Nevada upon' the state or county highways of said state and is done and per- formed under contract with the State of Nevada in pursuance to the Acts of the Legislature of the State of Nevada; that occa- sionally it obtains and performs a contract with a-bordering state, such as California, for the construction of a part or portion of the highways or roads of that state, all in accordance with and in pursuance to the Constitution and the Acts of the Legislature of that state; that it is a corporation organized under the laws of the State of Nevada with a capital of $450,000; that its prin- cipal place of business is located at Reno, Nevada, and the great- est volume of its work is performed in the State of Nevada, the nature of which said work is set forth in the Stipulation on Com- merce dated February 8, 1940, hereby made a part of the record herein as "Exhibit 2" and incorporated herein by ' reference as though fully set forth herein. In addition to the facts set forth in said "Exhibit 2," it is agreed that the Board or any Court of the United States may take judicial notice of any constitu- tional provision, statute, or law of the States of California, Nevada, or'of the United States with particular reference to the statutes cited,by Respondent in its Answer, and that any party hereto may call the attention of the Board and of any Court to any such statutes believed to be pertinent; that the contracts with the respective States of Nevada and California-for the con- struction of the portions of the roads and highways of said states are entered into and made in pursuance to the Constitution, laws and statutes of said respective states. (1) Building Trades Council of Reno, Nevada, is a labor organization composed of various labor organizations in Reno, Nevada, affiliated with the A. F. of L., including among others the International Union of Teamsters, Chauffeurs, Stablemen and Helpers of America, Local 533, and the Building Trades Council and Local No. 533 are both labor organizations within 476 DECISIONS OF NATIONAL LABOR RELATIONS BOARD the meaning of Section 2, Subdivision 5 of the National Labor Relations Act. (2) Highway Workers Federation is a labor organization within the meaning of Section 2, Subdivision 5 of the Act. III That Respondent entered into an agreement affecting wages, hours and other working conditions with the said Highway Workers Federation, in the month of November, 1938, to run for a period of one year thereafter; that the said agreement expired on or about the 5th day of November, 1939, since which time the said Respondent has had no agreement or understanding of any kind or nature with the said Highway Workers Federation. IV All of the parties hereto waive their right to a hearing and to the making of Findings of Fact and Conclusions of Law by the National Labor Relations Board, other than as to the questions of whether the National Labor Relations Act is applicable to the- Respondent and the employees of the Respondent,•and agree that the formal papers in this proceeding, including the Amended Charge, Complaint and Notice of Hearing, Affidavit of Service of the Complaint, the Answer of the Respondent herein, copy of the Rules and 'Regulations, Respondent's] Motion for a Con- tinuance of Hearing and Affidavits in support thereof, Notice of Postponement of Hearing, and Affidavit of Service of Notice of Postponement of Hearing, and Affidavit of Service of Complaint, Notice of Hearing and Notice of Postponement of Hearing on Highway Workers Federation, acknowledgment of Service of Complaint, Notice of Hearing and Notice of Postponement of Hearing upon Highway Workers Federation, and the envelope in which said acknowledgment was received (all constituting one exhibit and being marked "Exhibit 1"), Stipulation on Commerce hereinabove referred to as "Exhibit 2," and this Stipulation, shall constitute the entire record in this case and shall dispense with the necessity for said hearing already provided for in the Com- plaint and Notice of Hearing issued herein. Upon this Stipula- tion, if and when, approved by the National Labor Relations Board, without the Respondent's admitting the allegations set forth in the Complaint in these proceedings, and subject, however, to the provisions of Paragraph V of this Stipulation, an order may forthwith be entered by said Board, providing, as follows : , ISBELL CONSTRUGTTON COMPANY 477 (1) Respondent, Isbell Construction Company, shall cease and desist from : (a) In any manner interfering with, restraining or coercing its employees in the exercise of their right to self-organization, to form, join or assist labor organizations to bargain collectively through representatives of their own choosing, and to engage in concerted activities for the purpose of collective bargaining or other mutual aid or protection as guaranteed in Section 7 of the National Labor Relations Act. (b) Urging, persuading or warning its employees to refrain from becoming or remaining members of Local No. 533 of the International Brotherhood of Teamsters, Chauffeurs, Stable- men and Helpers of America or any other labor organization affiliated with the Building Trades Council, or any other labor organization of its employees, and from threatening said em- ployees with discharge or discrimination in any other manner if they become or remain members of the above mentioned labor organizations or any other labor organization. (c) Urging, persuading or warning in any way, or in any manner influencing or attempting to influence its employees to form, join, assist, or participate in or not to form, join, assist or participate in any labor organization of its employees, or in the manner or degree of such forming, joining or assisting or participating in any such labor organization. (d) Dominating or interfering with. the administration of the Highway Workers Federation, dominating or interfering with the formation or administration of any other labor organi- zation of its employees or contributing financial or other support to the Highway Workers Federation or to any other labor organization of its employees. (e) Recognizing the Highway Workers Federation as the representative of any of its employees for the 'purposes of collective bargaining. (2) Respondent, Isbell Construction Company, shall take the following affirmative action in order to effectuate the policies of the National Labor Relations Act : (a) Withdraw all recognition from the Highway Workers Federation as the representative of its employees for the pur- pose of dealing with Respondent concerning grievances, labor disputes, wages, rates of pay, hours of employment and other conditions of employment; and disestablish the Highway Workers Federation as such representative. 478 DECISIONS OF • NATIONAL LABOR RELATIONS BOARD (b) Offer employment to Albert Smith, if and when avail- able before employing any individual who has less seniority with Respondent than Smith, and pay him, the sum of $50.00. (c) Post immediately, in conspicuous places in its shop in Reno, Nevada, in its employment office, and at any camp now maintained by Respondent or set up by Respondent, within sixty days from the date- of this Order, and maintain for a period of at least sixty days, notices stating that : 1. Isbell Construction Company will cease and desist in the manner aforesaid, as set forth in Subsections .(a), (b), (c), (d), and (e), Subdivision (1) hereof. 2. That the employees of the Isbell Construction Company have the right to self-'organization are free to form, join, or assist labor organizations to bargain collectively with the Isbell Construction Company through representatives of 'their own choosing, and to engage in concerted activities for the purpose of collective bargaining with the Isbell Construction Company or for other mutual aid or protection. 3.. That Isbell Construction Company has withdrawn all recognition from the Highway Workers • Federation as the representative of its employees for the purpose of dealing with the Isbell Construction Company concerning griev- ances, labor disputes, wages, rates of pay, hours of employ- ment'and other conditions of employment; and that the said Highway Workers Federation is disestablished as such representative. (d) Notify the Regional Director for the Twentieth Region -of the • National Labor Relations Board, within ten days of the service of this order, by detailed report in writing of the manner and form in which Respondent has complied with said order. (3) AND IT IS FURTHER ORDERED that the Complaint be and it is hereby dismissed insofar as it alleges that the Respondent dis- criminated in regard to the hire or tenure of employment of Charles Holland, Robert Magers and R. H. Hitchens within the meaning of Section 8 (3) of the Act. V Anything to the contrary herein notwithstanding, Respondent • reserves the right to contest before the National Labor Relations Board and/or any appropriate Court the applicability of the National Labor Relations Act to Respondent and the employees ISBELL CONSTRUCTION COMPANY 479 of Respondent, as also the jurisdiction of the National Labor Relations Board and appropriate Circuit Court of Appeals to enter against the Respondent the Order and Decree set forth in Paragraph,IV of this Stipulation, but waives any and all other rights to contest the validity and propriety of the Order and the entry of said Order and Decree by the Board and appro- priate Circuit Court of Appeals. VI It is further stipulated and agreed that if the National Labor Relations Board holds 'adversely to 'the Respondent on the mat= ters reserved by and in Paragraph V hereof, and enters an Order as hereinbefore stipulated to, there may be entered in the United States Circuit Court of Appeals for the Ninth Circuit a Decree by said Court, enforcing in full the said Order of the National Labor Relations Board, and each of the parties hereto hereby consents to'the entry of such Decree, provided 'that the said United States Circuit Court of Appeals for the Ninth 'Circuit holds adversely to Respondent on the matters reserved by it in Paragraph V hereof. It being the intention of all'the parties hereto that the Respondent may have the right to present and litigate before the Board, as also before the United States Circuit Court of Appeals for the Ninth Circuit, or any other Court, the question of the jurisdiction of the National Labor Relations Board over the Respondent and its employees, as also the applica- bility of the National Labor Relations Act to said Respondent and its employees. VII It is expressly understood and agreed that' this 'Stipulation is subject to the approval of the National Labor Relations Board. - The Stipulation on Commerce to which said- stipulation and agree- ment of February 29, 1940, advert, and which is therein, incorporated as "Exhibit 2" is a certain document with annexed exhibits wherein and whereby the respondent and counsel for the Board on February 8, 1940, stipulated and agreed to certain facts for the purposes of these proceedings. Because of their character and extent, the con- tents of this document and annexed exhibits are not here set forth. On April 6, 1940, the Board issued an order approving the stipu- lation and agreement of February 29, 1940, and the Stipulation on Commerce, makingGthem part of the record herein, and, pursuant to Article II, Section,36, of National Labor Relations Board Rules 480 DECISIONS OF NATIONAL LABOR `RELATIONS BOARD and Regulations-Series 2, as amended, transferring the proceedings to the Board for the purpose of entry of a decision and order by the Board in accordance with the provisions of said stipulation and agreement of February 29, 1940. The parties were granted leave to submit briefs and to request oral argument before the Board with respect to the jurisdictional question raised in the answer and re- served by the settlement agreement. On May 4, 1940, the respondent submitted a brief which the Board has considered. Upon the stipulation and agreement of February 29, 1940, the Stipulation on Commerce, and upon the entire record in the case, the Board makes the following : FINDINGS OF FACT I. THE BUSINESS OF THE RESPONDENT Isbell Construction Company, the respondent, is a pivate corpo- ration organized under the laws of the State of Nevada, with its main office and place of business at Reno, Nevada. It is engaged, and at all times material herein has been engaged, in the business of general construction and contracting work. It conducts its busi- ness from the Reno office. During the years 1937, 1938, and 1939, the respondent engaged in the following operations. Higliioays and roads. The respondent's principal business is the construction, reconstruction, and repair of parts or portions of high- ways and roads, and of appurtenances thereof, within the State of Nevada, under contracts with and in pursuance of the laws of that State. It also constructs, reconstructs, and repairs from time to time parts or portions of highways and roads, and appurtenances thereof, within States bordering upon' the State of Nevada, particu- larly California, under contracts with and in pursuance of the laws of such States. In 1938 and 1939 the respondent, in accordance with contracts made with the Department of Highways of the State of Nevada", performed work upon four portions of the highway know as Nevada State Highway 1, said highway and said portions thereof being within Nevada, but forming a segment or segments of the national highway known as United States Highway 40.2 This work included the building of retaining walls, elimination of curves in road, widen- ing of roadway, grading of roadbed, surfacing of road, installation of concrete structures, and construction of two reinforced concrete bridges. For this work the respondent was compensated under its contracts in a sum in excess of $641,000. United States Highway 0 2 Also known as United States Route 40 and, U. S Route 40. ISBELL CONSTRUCTION COMPANY 481 40 extends from Atlantic City, New Jersey, to San Francisco, Cali- fornia. It is one of the main arteries of the transcontinental high- way system, and is regularly used for the transportation of goods and passengers in interstate commerce. - Three of the portions of the highway, upon which the respondent worked, lie within 20 miles of the boundary line between Nevada and California. Over the portions of the highway upon which the respondent worked, at least three interstate common carriers carry and have carried each year by motor bus on regular daily schedules several thousand passengers and large quantities of passenger baggage from Nevada or States east of Nevada to and into California, and from California into and through Nevada ; and over said portions of said highway at least 16 companies regularly carry or transport for hire each year by motor vehicle, in most cases on regular schedules, thousands of tons of freight in interstate commerce. Throughout the greater part of the year, many private and contract carriers transport substantial quantities of goods, merchandise, and produce over said highway and said portions thereof, and several thousand, persons use them for interstate travel. In 1937 and 1938 the respondent, in pursuance of contracts with the Nevada Department of Highways, performed similar work upon, or in connection with portions or parts of other highways of the State of Nevada, which, while not segments of any national or inter- state highway, connected with such highway or highways. One of these connected with United States Highway 40, two with United States Highway 6 3 and two with the United States Highway 395.4 United States Highway 6 extends from Provincetown, Massachusetts, to Los Angeles, California; United States Highway 395, from San Diego, California to the Dominion of Canada, through the States of California, Nevada, Oregon, and Washington. For this work the respondent received as compensation $280,000. The respondent in 1937, 1938, and 1939, also performed work such as stabilizing surfaces, spreading gravel, and grading, upon county roads and city streets in various counties and cities of Nevada, for which it received $82,000. In 1936 and 1937, in pursuance of a contract with the Department of Public Works, Division of Highways, State of California, the respondent constructed, reconstructed, and improved a portion of the state highway within California forming a segment of United States Highway 395. This work included constructing a part of the high- way, widening the roadway, and eliminating vertical curves. The 3Also known as United States Route 6 and U. S. Route 6. • Also known as United States Route 395 and U: S . Route 395. It appears that one of these portions does form a segment of United States Highway 6 323428-42-vol. 27-32 482 DECISIONS OF NATIONAL LABOR RELATIONS BOARD respondent received $222,000 as compensation for this work. The portion of United States Highway 395 where this work was per- formed is and has been used by at least one common carrier in the interstate carriage by motor bus; for hire, •on daily schedules, of several thousand passengers each year, together with their baggage, between points in Nevada and points in California; also it'is and has been used by motor carriers for interstate transportation of large quantities of freight between points in Nevada and points in Cali- fornia. A substantial number of contract and private carriers use said highway and said portion thereof in handling large quantities of goods, materials, and produce in interstate commerce, and several thousand persons travel each month over said highway and portions thereof between points in California and points in Nevada. The respondent in 1938, under contracts or so-called "service agree- ments" with the Department of Public Works, Division of Highways, State of California, leased to the, Department power shovels, dump trucks, and other equipment, and hired out to it' certain of its em- ployees, for repair work on portions of roads within California. The compensation it received under such contracts was $21,000. In con- nection with and as part of these transactions, as well as in con- nection with 'and as part of the job it performed on the portion.of United States Highway 395, above mentioned, the respondent caused the movement of equipment owned by it and of persons in its employ from Nevada to California to perform the work involved, and upon completion of such work caused the return of such equipment 'and employees from California to Nevada. The total value of the equip- ment involved in these transactions was about $84,000; the total number of employees involved was approximately 33, all of whom were residents of Nevada. Airport. In 1937 and 1938 the respondent, in pursuance of' a con- tract with United 'Air Lines Transport Corporation, a private, corporation, delivered approximately 400,000 cubic yards of materials at the - airport site of said air line in Nevada near Reno, for the purpose of constructing runways for the landing of planes. The respondent also surfaced the runways as constructed with bituminous asphalt. It received for the work $254,000. The airport in question is the only airport near Reno. It serves as a port for planes engaged in interstate transportation of passen- gers, baggage, mail, and freight, for private planes, and planes of the United States Army and Navy. Each day two -planes west- bound from the State of New York to the State of California, and two east-bound from the State of California to the State of New York, such planes each carrying on an average of 10 passengers, 250 pounds of air mail, and 100 pounds of express, make landings there: ISBELL CONSTRUCTION COMPANY 483 The airport also is a designated air navigation facility of an inter- state air route. Ore excavation and haulvng. The respondent during the period from 1937 to 1939, inclusive, in pursuance of contracts with four mining companies excavated large quantities of ore and waste material from mines in Nevada owned by these companies, and hauled such ore to mills in Nevada, for which it received a total compensation of $158,000. The ore thus hauled was milled and reduced to con- centrates at these mills, and then shipped to places outside of Nevada for smelting and refining. Miscellaneous work and leasing of equipment. From 1937 to and including 1939, the respondent engaged in a variety of other con- struction, repair, excavation, and like work within Nevada, including cleaning, widening, and excavating irrigation canals; erecting head- gates; constructing concrete mill foundations; clearing debris and snow from a right-of-way of Virginia and Truckee Railroad; and grading or surfacing private roads, lots, and a parking area. In that same period the respondent, in addition to the leasing heretofore mentioned, leased certain of its equipment and provided materials for work performed in Nevada and California, principally in Nevada. As compensation and rentals therefor the respondent received in 1937, 1938, and 1939, a total of $192,000. Purchases of materials and equipment. In the course of its business the respondent during 1937, 1938, and 1939, used large quantities of raw materials such as pipe, cement, powder, steel, lumber, asphalt, oil; wire, paint, guard rail, and gravel, which it purchased from sellers located within and without the State of Nevada. The total cost of these materials was in excess of $151,000, of which $128,000 was for materials other than gravel, manufactured or produced out- 'side of the State of Nevada and shipped directly from outside of Nevada to the various places in Nevada at which the respondent performed its highway and other work, as heretofore set forth. In 1937, 1938, and 1939, the respondent purchased from dealers or sellers' representatives in Reno, Nevada, $180,000 worth of equip- ment for use in the conduct of its business. This equipment included automobiles, trucks, trailers, shovels, tractors, rollers, graders, scrap- ers, engines, pumps, and tanks. Of this equipment $72,000, worth was shipped in connection with such purchases from points outside the State of Nevada to the respondent's place of business in Reno, and $89,000 worth, while delivered to the respondent from stocks in Nevada, was manufactured outside,of that State. As of December 31, 1939, the total cost of all equipment, including the 'foregoing, then used by the respondent in its business was $546,000. In 1937, 1938, and 1939, the respondent in determining its 484 DECISIONS OF NATIONAL LABOR RELATIONS BOARD worth allowed $165,000 for depreciation of equipment. In excess of 90 percent by value of all equipment used by the respondent is manufactured outside of Nevada. Effect upon commerce of unfair labor practices occurring in con- nection with operations engaged in by the respondent in the conduct of its business. The operations engaged in by the respondent in the conduct of its general construction and contracting business, are con- fined by the record to operations, as above found, occurring and con- cluded during the 3-year period from 1937 to 1939. In view of the construction and contracting work which the respondent is equipped and competent to perform, as well as other facts shown by the record, and in the absence of proof to the contrary, we presume, and we find, that the operations engaged in by the respondent in the conduct of its business since 1939, and in which it will continue to be engaged, have been and will be substantially of the same character and relative volume as they were from 1937 to 1940; that the respondent in and after 1940 has'been and will be engaged in such operations as the construction, reconstruction, repair, and improvement of highways and roads used in the interstate transportation, or delivery of persons, property, and communications in interstate commerce ; the leasing of its equipment and hiring out of its employees located or resident in Nevada to persons or political bodies in States other than Nevada; the construction, reconstruction, or surfacing of airport runways used by planes engaged in the interstate transportation or delivery of persons, property, and communications; the excavation and hauling of ore to local mills in Nevada for reduction to concentrates and foi' shipment thereafter to places outside Nevada for smelting and refin- ing; the purchase of large quantities of raw materials and equipment manufactured and shipped to the respondent from outside Nevada, for use in the conduct of its business. We also find that the above-described operations in which the respondent engaged in the conduct-of its business, and in which it is and will be engaged, relate and affect directly and substantially, and in part constitute, trade, traffic, commerce, transportation", and= commu- nication among the several States. We further find that activities of the respondent constituting unfair labor practices within the meaning of the Act, such as those' alleged in the complaint and proscribed by the Order made below, occurring in connection with the operations of the respondent set forth above, have a close, intimate, and substantial relation to trade, traffic, commerce, transportation, and communica- tion among the several States, and tend to lead to labor disputes burdening and obstructing such trade, traffic, commerce, transporta- tion, and communication, and the free flow thereof. ISBE'LL CONSrrRUC7ION COMPANY 485 In the brief which- it submitted the respondent challenges the jurisdiction of the Board over the subject matter. Among other things it contends that it and its employees are excluded from the operation of the Act, at least in so far as the respondent's business involves work on highways and roads, by virtue of the exception made in Section 2 (2) of the Act in favor of "any State or political subdi- vision thereof"; that the Congress in enacting the Federal Highway Aid Act, 42 Stat. 215, manifested an intent to and thereby did pre- clude or exclude from the operation of the Act all matters relating to the construction and reconstruction of highways, and such matters are reserved to or remain within the police power of the States;-that the respondent is not engaged in interstate commerce nor do its labor relations or policies directly affect interstate commerce; and that the local law of the States of Nevada and California remove the possi- bility of the respondent's labor relations or policies having any mate- rial effect or burden upon interstate commerce. We are of the opinion that jurisdiction over the subject-matter exists. H. THE ORGANIZATIONS INVOLVED Building Trades Council of Reno, Nevada, is a labor organization composed of various labor organizations in Reno, Nevada, affiliated with the American Federation of Labor. Its constituent organiza- tions include, among others, Local 533 of the International Union of Teamsters, Chauffeurs, Stablemen and Helpers of America. Highway Workers Federation is an unaffiliated labor organization. International Union of Mine, Mill & Smelter Workers is a labor organization affiliated with the Congress of Industrial Organizations, a labor organization. The afore-mentioned labor organizations are labor organizations, within the meaning of the Act. ORDER Upon the basis of the above findings of fact and conclusions of law, the stipulation and agreement of February 29, 1940, and the- Stipulation on Commerce, and pursuant to Section 10 (c) of the National Labor Relations Act, the National Labor Relations Board hereby orders that the respondent, Isbell Construction Company, Reno, Nevada, and its officers, agents, successors, and assigns, shall: 1. Cease and desist from : (a) In any manner interfering with, restraining, or coercing its employees in the exercise of their right to self-organization, to form, join or assist labor organizations, to bargain collectively through 486 DECISIONS OF NATIONAL LABOR RELATIONS BOARD representatives of their own choosing, and to engage in concerted activities for the purpose of collective bargaining or other mutual aid or 'protection, as guaranteed in Section 7 of the Act; (b) Urging, persuading, or warning its employees to refrain from becoming or remaining members of Local 533 of the International Brotherhood of ,Teamsters, Chauffeurs, Stablemen and Helpers of America, or any other labor organization affiliated with the Building Trades Council of Reno, Nevada, or any other labor organization-of its employees, and from threatening said employees with discharge or discrimination in any 'other manner if they become or remain members of the above-mentioned labor organizations or any other labor organization; (c) Urging, persuading, or warning in any way, or in any manner influencing or attempting to influence its, employees to form, join, assist, or participate in, or not to form, join, assist, or participate in, any labor organization of its employees, or in the manner or degree of such forming, joining, assisting, or participating in any such labor organization; (d) Dominating- or interfering with the administration of High- way Workers Federation, or with the formation or administration of any other labor organization of its employees, and from con- tributing financial or other support to Highway Workers Federation, or to any other labor organization of its employees; (e) Recognizing Highway Workers Federation as the representa- tive of its employees for the purposes-of collective bargaining. 2. Take the following affirmative action, in order to effectuate- the policies of the Act : ' (a) Withdraw all recognition from Highway Workers Federation as the representative of its employees for the purpose 'of dealing with the respondent concerning grievances, labor disputes, wages, rates of pay, hours of employment, and other conditions of employment; and disestablish Highway Workers Federation as such representative; (b) Offer employment to Albert Smith, if and when available, before employing any individual who has less seniority with the respondent than Albert Smith, and pay him the sum of $50.00; (c) Post immediately, in conspicuous places in its shop in Reno, Nevada, in its employment office, and at any camp now maintained by the respondent or set up by the respondent, within sixty (60) days from the date of this Order, and maintain for a period of at least sixty (60) days, notices stating that (1) Isbell Construction Company will cease and desist in the manner aforesaid, as set forth in Subsections (a), (b), (c), (d), and (e), Subdivision '1 hereof; (2) the employees of Isbell Construction Company have the right to self-organization, are free to form, join, or assist labor organiza- ISBELL CONSTRUCTION COMPANY 487 tions, to bargain collectively with Isbell Construction Company through representatives of their own choosing, and to engage in' concerted activities for the purpose of collective bargaining with Isbell Construction Company or for other mutual aid or protection; (3) - Isbell Construction Company has withdrawn all recognition from Highway Workers Federation as the representative of its employees for the purpose of dealing with Isbell Construction Com- pany concerning grievances, labor disputes, wages, rates of pay, hours of employment, and other conditions of employment; and that the said Highway Workers Federation is disestablished as such representative; (d) Notify the Regional Director for the Twentieth Region of the National Labor Relations Board, within ten (10) days of the service of this Order, by detailed. report in writing, of the manner -and form in which the respondent has complied with said Order. AND IT IS rmRTBMR ORDERED that the complaint be, and it hereby is, dismissed in so far as it alleges that the respondent discriminated in regard to the hire or tenure of employment of Charles Holland, Robert Magers, or R. H. Hitchens, within the meaning of Section 8 (3) of the Act.