Opposition Brief — AutoZone, Inc. v. National Labor Relations Board
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Jn the Supreme Court of the Unite Srates— “xe
OCTOBER TERM, 1995
AUTOZONE, INC., PETITIONER
Vv.
NATIONAL LABOR RELATIONS BOARD, ET AL.
ON PETITION FOR A WRIT OF CERTIORARI
TO THE UNITED STATES COURT OF APPEALS
FOR THE SIXTH CIRCUIT
BRIEF FOR THE
NATIONAL LABOR RELATIONS BOARD
IN OPPOSITION
WALTER DELLINGER
Acting Solicitor General
Department of Justice
Washington, D.C. 20530-0001
(202) 514-2217
FREDERICK L. FEINSTEIN
General Counsel
LINDA SHER
Associate General Counsel
NORTON J. COME
Deputy Associate General Counsel
JOHN EMAD ARBAB
Attorney
Nationat Labor Relations Board
Washington, D.C. 20570
:
|
QUESTION PRESENTED
Whether substantial evidence supports the findings
of the National Labor Relations Board that: (1) peti-
tioner’s decision to withhold a planned and expected
wage increase during a representation election vio-
lated Section 8(a)(3) of the National Labor Relations
Act (Act), 29 U.S.C. 158(a)(3); (2) a speech by peti-
tioner’s Vice-President blaming that withholding on
the Union violated Section 8(a)(1) of the Act; and (3) a
speech by petitioner’s Chief Executive Officer threat-
ening closure of the plant if the Union won the elec-
tion and permanent job losses following a strike
violated Section 8(a)(1) of the Act.
(I)
TABLE OF CONTENTS
SE PINION Said spntinibesokcdencaidil sc livetsspsditesscoassclecss cadgescs
Jurisdiction
Statement
Argument
COOSOR SPSS OPO S TOS COSE OOOO TOOCOSOOOCOOHOS OSE SEDEDEDEOOeS SOHO OSOLCOCSOoS
COLOOCCOSOSOSOOOOCOHOO HOC ESOOTOHOOOSEOSOCOSOEEEOES OOOO SES COLO LOCSESe
Cg HELE EEARIY SOEERRNC LEN scone N DP NTT AINE Pa Oe re NE eS
Cases:
Atlantic Forest Prods., Inc., 282 N.L.R.B. 855
5 ASRS te Sh ONRSE 9 2E ce nee as EN etna 7,
Bowling Green-Warren County Commu nity Hosp. v.
NLRB, 756 F.2d 41 (6th Cir. 1985) ..............ccc0000---
Cutter Labs., Inc., 221 N.L.R.B. 161 (1975) ..............
Emory Nursing Home, Inc., 260 N.L.R.B. 540
RRC TAGs HEADER SR tone EE EEE oem
Free-Flow Packaging Corp. v. NLRB, 566 F.2d
RANE NE RAPS MUO? ess s dik cdiscloardtcsasskebsaosesnltiedizcaciuin:
Graver Tank & Mfg. Co. v. Linde Air Prods. Co..
336 U.S. 271 (1949), aff'd on reh’g, 339 U.S. 605
SN und dinnidbiiddintbadatcitiicss\ dsdidanshiotiiplccs ccc oe,
TABLE OF AUTHORITIES
Great Atlantic & Pacific Tea Co., 192 N.L.R.B. 645
(1971)
COPS OOOO SEOOSOH HSH OO EOOTESOSOOE SOSH EE SESE OSE OEE OESETOEEEEEOEEESSESE
Hovey Elec., Inc., 302 N.L.R.B. 482 (1991), enforce-
ment granted in part and denied in part on other
grounds, 964 F.2d 543 (6th Cir. 1992) ......................
1981)
POOH SOOO HEHE OSE OH SOE TOTES OOOO OSHS ESOOOEOOE SEE OEEOESO EC OEEESESOSECSECS
Laidlaw Corp., 171 N.L.R.B. 1366 (1968), enforced,
414 F.2d 99 (7th Cir. 1969), cert. denied, 397 U.S.
TUE LisUih hs cinacccnepstehchaacdenkeieenanbdavadobcliaicr cc ccesiess
Larson Tool & Stamping Co., 296 N.L.R.B. 895
(1989)
SO PCOOOS OOOO EHS OOOOH OOH ESSEC OSEHOOS SOOO OEE OOOOERESEE OE COO OESESOSOOSOOS®S
(IIT)
POCO SOOCSOH OOOO OOSOOOEORECOOEOOSHOEOEO TSE ESEEOC HEED OOS OOOO EOS OOONS
1],
1]
12
-12
IV
Cases—Continued: Page
Mobil Oil Corp. v. Federal Power Comm’n, 417 U.S.
FEE AE TO) icoksntinasnosemeionitssneaiibiareininunnsbesuiiarcteaieen 11
NLRB vy. Gissel Packing Co., 395 U.S. 575 (1969) ... 14
NLRB vy. Industrial Erectors, Inc., 712 F.2d 1131
CU Rott a: MIOIEE scnnactedaknis a tnnesisleedakcaukscadenshecacomuoniemces 12
NLRB vy. Otis Hosp., 545 F.2d 252 (1st Cir.),
enforcing 222 N.L.R.B. 402 (1976) ............ccccceeeseeees 11
NLRB vy. Planters Peanuts, 574 F.2d 400 (8th Cir.
SUSUR? -cacuichicnicspisisad pednnarvichsidatdcaenanaiaddainebestinad 12
NLRB vy. Service Garage, Inc., 668 F.2d 247 (6th
Ems RUD dcntsiabavdebdupnisctidis dcaniebchietaipacabiaaaiadeniabeittel 11
Plasticrafts, Inc. v. NLRB, 586 F.2d 185 (10th Cir.
EDOO?: ccdiivnciccnntasiniaitshaninimmateteiinaittendiieataidmmainae 12-13
Uarco, Inc., 169 N.L.R.B. 1153 (1968) ...............2..0.. 13
United States v. Johnston, 268 U.S. 220 (1925) .... 10-11
Statutes:
National Labor Relations Act, 29 U.S.C. 151 et seq.:
Fy Oe ee BT. cenkcgintselceteeiceispeasinidicanncadipabipaan 2
$ 8(a)(1), 29 U.S.C. 158(a)(1) ...................00ce00 2, 5, 7, 12
§ 8(a)(3), 29 U.S.C. 158(a)(B) ..............ssesescceeeeeess 2, 5, 10
© SG), See Riese AMUGE chaicevdesscarnsrindobinatonarepanateintie 14
Jn the Supreme Court of the United States
OCTOBER TERM, 1996
No. 96-116
AUTOZONE, INC., PETITIONER
Vv.
NATIONAL LABOR RELATIONS BOARD, ET AL.
ON PETITION FOR A WRIT OF CERTIORARI
TO THE UNITED STATES COURT OF APPEALS
FOR THE SIXTH CIRCUIT
BRIEF FOR THE
NATIONAL LABOR RELATIONS BOARD
IN OPPOSITION
OPINIONS BELOW
The opinion of the court of appeals (Pet. App. 1-21)
is unpublished, but the decision is noted at 83 F.3d 422
(Table). The decision and order of the National Labor
Relations Board (Pet. App. 25-28), and the decision of
the administrative law judge (Pet. App. 29-164), are
reported at 315 N.L.R.B. 115.
JURISDICTION
The court of appeals entered its judgment on April
24, 1996. The petition for a writ of certiorari was filed
on July 22, 1996. The jurisdiction of this Court is
invoked under 28 U.S.C. 1254(1).
(1)
STATEMENT
1. Section 7 of the National Labor Relations Act
(Act) guarantees employees “the right to self-or-
ganization, to form, join, or assist labor organiza- |
tions, * * * and to engage in other concerted
activities for the purpose of collective bargaining or
other mutual aid or protection.” 29 U.S.C. 157. Sec-
tion &8(a)(1) of the Act makes it an “unfair labor prac-
tice” for an employer “to interfere with, restrain, or
coerce employees in the exercise of thlose] rights.”
29 U.S.C. 158(a)(1). Section 8(a)(3) further prohibits
employers from “discrimination in regard to * * *
any term or condition of employment to encourage or
discourage membership in any labor organization.”
29 U.S.C. 158(a)(3).
2. a. Petitioner distributes and sells automotive
parts throughout the United States. In late 1992, the
General Drivers, Warehousemen and Helpers, Local
Union No. 28, International Brotherhood of Team-
sters, AFL-CIO (Union) began an organizing cam-
paign at petitioner’s Greenville, South Carolina dis-
tribution center. Pet. App. 2. When the company
refused to recognize the Union, the Union filed a
representation petition with the National Labor
telations Board (Board). The Board subsequently
scheduled a representation election for March 5, 1993.
Ibid.
b. Petitioner annually adjusts the pay for employ-
ees at its distribution centers. Pet. App. 60; see also
id. at 3. The adjustment depends uruon a wage survey,
which determines whether the company’s wages are
competitive in that area. Because it depends upon a
study of regional factors, the wage adjustment may
vary from one distribution center to another. Fur-
|
thermore, no adjustment is guaranteed if the survey
reveals that the current pay scale is competitive. Jd.
at 60-61; see also id. at 3.
In November 1992, petitioner’s Vice-President,
Dennis Roberts, visited the Greenville distribution
center. In response to questioning by employees,
Roberts stated that he expected them to receive a
wage increase of between four and five percent, but
this had not yet been confirmed. Pet. App. 4. Roberts
reiterated this expectation two weeks later. bid.
By early January 1993, a wage survey for Green-
ville had been completed, which demonstrated that a
wage adjustment in excess of five percent was appro-
priate. Pet. App. 5, 63. This information, along with
survey data for petitioner’s other distribution
centers, was submitted to Roberts in early January.
On January 11, 1993, Roberts recommended, and the
petitioner’s President approved, wage adjustments for
all of petitioner’s distribution centers, except Green-
ville. Jd. at 4-5, 62.
On January 22, 1993, Roberts delivered a speech to
the Greenville employees in opposition to the Union’s
representation petition. Addressing the withholding
of the wage adjustment, Roberts stated:
A number of you have asked when or if the 4 to 5
percent increase we had mentioned back in Decem-
ber would be going through. You need to under-
stand that the numbers we mentioned in December
were a tentative forecast only. After that time, we
decided to re-evaluate the pay situation in this
market. Before we were able to gather all the data
we needed and reach a final decision, however, the
Teamsters’ petition came in. Our understanding
of the law is that we cannot make changes in the
pay or benefits once a petition comes in, unless the
decision had been finalized beforehand. We very
much regret that the union’s poor timing has now
tied our hands, but we do not intend to violate the
law. The thing to keep in mind, though, is that |
once the union is beaten in the election—and we
feel confident that is exactly what is going to
happen here—then we will be able to move forward,
free of the restrictions that we now live under.
Pet. App. 5-6. In a question-and-answer session fol-
lowing the speech, Roberts told the Greenville em-
ployees that the average pay increases being imple-
rnented that day at the other distribution centers
ranged from twelve to fifteen percent. Jd. at 20, 104.’
ce. On February 19, 1993, approximately two weeks
before the election, petitioner’s Chairman and Chief
Executive Officer, J.R. Hyde, delivered a speech to
the Greenville employees. Hyde stated that the
Union strikes “100 percent of the time,” and then
continued:
Nobody wins a strike. At each of the cases I men-
tioned, both the company and [the Union] survived
the strike and are still around. |The distribution
center in] Nashville is still operating today full
bore. So is Sikeston and so is Memphis. The only
part of the equation not still there are the em-
ployees who allowed the Teamsters to call them
out on strike. * * * [T]he 185 strikers at our
Mae te nade
i
|
! The court of appeals initially attributes this statement to
another employee (Ferguson). Pet. App. 6. The Board found,
however, that Roberts made the statement, and this was not a
fact in dispute. /d. at 104. The court of appeals corrected its
error later in the opinion, correctly attributing the statement
to Roberts. Id. at 20.
EE
5
Nashville warehouse who walked out on an illegal
wildcat strike were all fired. Those 185 employees
did not get to vote. Not one of them has ever
gotten his job back. The strikers in Memphis and
Sikeston were all replaced, and none of them have
gotten their jobs back to this day. In fact, there is
no union today in the Nashville [distribution cen-
ter], the Sikeston [distribution center], or the
Memphis [distribution center].
Pet. App. 8-9. Hyde concluded: “{The Union’s] record
with me and your management team is just about as
bad as you can get. * * * JI know, as sure as I’m
standing here, that if I let anyone—here or anywhere
else in this company—think [the Union] is in charge,
I might as well close the doors, put a lock on the gate,
and throw away the key. I will not let [the Union],
with [its] record and [its] own agenda, destroy what
you and I have built.” Jd. at 9-10.
d. The Board conducted an election among the
Greenville employees on March 5, 1993, as scheduled.
The Union lost the election by a vote of 135 to 57.
Pet. App. 2.
2. On November 9, 1993, the Board’s General Coun-
sel issued a complaint against petitioner alleging,
among other things, that petitioner’s decision to
withhold the scheduled wage increase from the
Greenville employees violated Section 8(a)(3) of the
Act, and that Roberts’ and Hyde’s speeches to the
Greenville employees violated Section 8(a)(1) of the
Act. Pet. App. 34-35, 58, 80.
a. Following a hearing, the administrative law
judge (ALJ) found that petitioner violated Section
8(a)(3) of the Act by withholding a planned and ex-
pected pay adjustment because of the Union’s petition
and the union activities of Greenville employees. Pet.
App. 158, 159. The ALJ specifically found that
Roberts was not a credible witness and rejected as
untrue Roberts’ assertion that the pay adjustment
process was frozen on the advice of counsel and arose
from a concern that implementing the increase dur-
ing an election campaign would have been illegal. Jd.
at 107. Instead, the ALJ found that “a motivating
factor int [petitioner’s] failure” to go forward with the
pay adjustment “was the fact that the employees had
assisted the Union and [petitioner] wanted to post-
pone the Greenville pay increase in order to help
defeat the Union at the election which would be held.”
Id. at 108; see also id. at 107 (“Roberts put aside his
analysis of the Greenville [distributioh center] pay
raise matter * ¥* * not because of any concern over
the legality of implementing a pay increase at
Greenville, but because of a desire to exploit the pay
raige issue in the election.”).
oT he ALJ further found that Roberts’ representa-
tion to the employees that the pay increases imple-
mented at the other distribution centers averaged
from twelve to fifteen percent was, if not “false,” then
“at best * * * misleading” (Pet. App. 104, 106), and
that this misrepresentation was “no accident, but a
deliberate attempt to deceive” the Greenville em-
ployees and to “tantalizie] his listeners at Greenville
about averages elsewhere of 12 to 15 percent, in
conjunction with * * * reciting how the pay
increase matter had to be set aside because of the
‘poor timing’ of the Union’s petition.” Jd. at 106.
“Roberts did this,” the ALJ concluded, “as part of
[petitioner’s] strategy of inciting the anger of the
Greenville employees toward the Union, and the
greater the percentage of the pay raise they were
een ener
missing out on the greater their anger and the
greater the chance they would vote NO on March 5.”
Id. at 106-107.
b. The ALJ also found that Roberts’ January 22,
1993, speech to the Greenville employees violated Sec-
tion 8(a)(1) of the Act. Pet. App. 65. Relying on “well
established” Board precedent, the ALJ held that “an
employer is required to proceed with an expected
wage or benefit adjustment as if the union were not on |
the scene.” /d. at 63 (quoting Atlantic Forest Prods.,
Inc., 282 N.L.R.B. 855, 858 (1987)). An employer is
permitted to delay a planned wage adjustment only if
“the ‘sole purpose’ of the postponement is to avoid the
appearance of influencing the election’s outcome” and
the employer “avoid[s] attributing to the union the
onus for the postponement of adjustments in wages or
benefits, or disparaging and undermining the union by
creating the impression that it stood in the way” of
the employees receiving the planned adjustment. Pet.
App. 63 (emphasis added). The ALJ found that
Roberts’ speech violated Section 8(a)(1) because “the
sole purpose of Roberts’ announcement * * * was to
encourage a vote NO” by “blam[ing] the Union’s ‘poor
timing’ for the postponement.” Pet. App. 65. “Not
only would Roberts’ words incite anger against the
Union, and remind employees how to take revenge
(beat the Union in the election),” the ALJ observed,
but they also “promise[d] the thrill of victory, after
the Union [was] beaten, in the form of [petitioner]
being able ‘to move forward, free of the restrictions
that [it] now live[d] under.’” bid.
ce. In addition, the ALJ found that Hyde’s February
speech to the Greenville employees violated Section
8(a)(1) of the Act by “unlawfully threaten[ing] loss of
jobs for strikers who participate in lawful strikes.”
+. ee
“i “
8
Pet. App. 84. The ALJ explained that “employers
cannot tell employees without explanation that they
would lose their jobs as a consequence of a strike
or permanent replacement.” /d. at 83 (quoting Larson
Tool & Stamping Co., 296 N.L.R.B. 895 (1989)).
Rather, employers must clarify that replaced em-
ployees may be placed on a preferential hiring list and
will be reealled when a permanent replacement leaves
the position. Pet. App. 83 n.3. Hyde’s description of
what had happened to strikers at the other distri-
bution centers, when combined with his statement
that “the Teamsters strike ‘100% of the time,” the
ALJ found, left the “clear” “overall message” that “a
successful vote for the Union means that there will
be a strike, that the strikers will be replaced, and that
the replaced strikers will lose their jobs.” Jd. at 84.
The ALJ further found that Hyde’s statement about
closing the company’s doors was unlawful because it
“threatens to retaliate for a Union victory by closing
the plant.” Jd. at 86.
d. On September 30, 1994, the Board affirmed the
ALJ’s findings and ordered petitioner to complete the
wage adjustment process for the Greenville distri-
bution center and to implement it retroactively. The
Board also set aside the results of the March election
and ordered a new election. Pet. App. 25-26, 158-159.°
3. In an unpublished decision, the court of appeals
enforced the Board’s order. Pet. App. 1-21. The court
* The Board also agreed with the ALJ that petitioner had
committed numerous other unfair labor practices during the
Union’s organizing campaign, including removing Union mate-
rials from company bulletin boards and imposing a “gag rule”
on employee conversations about the Union. Pet. App. 25, 52-
55, 69-72. The court of appeals upheld these findings, id. at 12-
15, and petitioner does not challenge them here.
9
held that substantial evidence supports the Board’s
factual findings and that there are no legal errors in
the decision. Jd. at 12. Specifically, the court of
appeals ruled that the “record fully supports” the
Board’s finding that anti-union animus underlay
petitioner’s decision to withhold the pay adjustment.
Id. at 18. The court further found “supported by the
record” the Board’s determination that “Roberts ex-
ploited his decision and the resulting wage adjust-
ment denial, using it as a weapon during his January
22 speech.” Jd. at 20. Petitioner’s contrary argument
that Roberts acted to avoid the appearance of unlawful
vote buying was rejected by the ALJ and, the court
noted, “[petitioner] has failed to show any basis for
disturbing th{at] credibility determination[].” Jbid.:
see also id. at 21 (“the record supports the Board’s
finding that [petitioner] suspended its anticipated
wage adjustment procedure because the employees
had assisted the Union and because [petitioner]
wanted to postpone the pay increases in order to help
defeat the Union at the election”). Finally, the court
of appeals concluded that “the record substantially
supports [the Board’s finding] that Chairman Hyde’s
speech contained both a threat of plant closure and
permanent loss of employment.” Jd. at 16-17.
ARGUMENT
Petitioner’s argument is premised on factual asser-
tions that are contrary to the facts found by the ALJ,
adopted by the Board, and affirmed by the court of
appeals. Because petitioner does not challenge the
legal standards employed or the application of the law
to the facts actually found by the Board, and because
the court of appeals’ decision is correct and not in
10
conflict with the ruling of any other circuit, further
review is not warranted.
1. Petitioner’s principal contention (Pet. 15-25) is
that the court of appeals erred in finding that peti-
tioner’s decision to withhold the wage increase from
the Greenville employees was unlawful under Section
8(a)(3) of the Act. Petitioner claims that it had no
established practice of granting wage adjustments
and that it acted out of a fear that the wage increase
would be perceived as illegal vote buying.
These factual contentions were specifically re-
jected by the ALJ, the Board, and the court of appeals.
The court of appeals, like the Board, rejected peti-
tioner’s claim that its wage adjustment history was
“erratic in both timing and amount.” Pet. App. 20.
The court found instead that “there had been an
annual average adjustment at Greenville in 1989, 1990,
and 1991,” that “there was a company wide practice of
granting adjustments at all of its distribution centers
in January,” and that “[petitioner] led its employees
to believe that some kind of wage increase would be
forthcoming in 1993.” Jbid. The court further found
that Roberts’ testimony that the wage adjustment
was withheld out of concerns about its legality was
“discredited,” that the company had demonstrated no
basis for disturbing that credibility determination,
and that “the record supports the Board’s finding that
petitioner suspended its anticipated wage adjustment
procedure,” not because of concerns about its illegal-
ily, but “because the employees had assisted the
Union and because [petitioner] wanted to postpone the
pay increases in order to help defeat the Union at the
election.” Jd. at 19-21.
This Court “dofes] not grant a certiorari to review
evidence and discuss specific facts.” United States v.
1]
Johnston, 268 U.S. 220, 227 (1925); ef. Graver Tank &
Mfg. Co. v. Linde Air Prods. Co., 336 U.S. 271, 275
(1949) (“{a] court of law, such as this Court is, * * *
cannot undertake to review concurrent findings of
fact by two courts below in the absence of a very
obvious and exceptional showing of error”), aff’d on
reh’g, 339 U.S. 605 (1950). The task of evaluating
whether an agency’s decision is supported by sub-
stantial evidence, moreover, belongs “primarily” to
the court of appeals: “This Court will intervene only
in what ought to be the rare instance when the
standard appears to have been misapprehended. or
grossly misapplied.” Mobil Oil Corp. v. Federal
Power Comm’n, 417 U.S. 283, 310 (1974).
It is clearly settled law that scheduled wage adjust-
ments cannot be withheld because of anti-union an-
imus. See, e.g., NLRB v. Otis Hosp., 545 F.2d 252,
254-256 (1st Cir.), enforcing 222 N.L.R.B. 402 (1976);
Atlantic Forest Prods., Inc., 282 N.L.R.B. 855, 858-859
(1987); Emory Nursing Home, Inc., 260 N.L.R.B. 540,
555 (1982). Accordingly, this Court’s review is not
warranted.’
% The cases cited and discussed by petitioner (Pet. 17-20, 21-
25) in an effort to demonstrate confusion in the legal standard
are inapposite because they did not involve an employer whose
conduct was found to have been motivated by anti-union
animus. See Bowling Green-Warren County Community Hosp.
v. NLRB, 756 F.2d 41, 44 (6th Cir. 1985) (“there is no sub-
stantial evidence in the present record to support a finding of
intentional discrimination”; parties had stipulated that the
“withholding of an increase * * * was based solely on the
advice of counsel”); NLRB vy. Service Garage, Inc., 668 F.2d
247, 248-249 (6th Cir. 1982) (employer had no past practice of
granting wage increase; employer did not attribute delay in
any possible increase to union or discuss basis for postponement
with employees); J.J. Newberry Co. v. NLRB, 645 F.2d 148,
12
2. Petitioner also contends (Pet. 11-14) that the
court of appeals erred in finding that Roberts’ Janu-
ary speech violated Section 8(a)(1) of the Act, because
Roberts allegedly “was merely informing employees
of [pjetitioner’s obligation under the Act, which is
lawful.” Pet. 12.
Like petitioner’s previous contention, this argu-
ment invites this Court to sit in review of factual
findings made by an agency and affirmed by the court
of appeals. The Board found, and the court of appeals
agreed, that Roberts’ speech was “part of [petition-
er’s| strategy of inciting the anger of the Greenville
employees toward the Union.” Pet. App. 106. Roberts
did not merely inform employees of the legal status of
their wage adjustment. He specifically blamed the
Union for the withholding and “strongly implied that
a vote against the Union would restore [petitioner’s]
freedom to grant the pay increase.” Jd. at 20.
Roberts’ purported explanation of the law, more-
over, was incorrect. In deciding whether to withhold
a planned increase in wages, “[a] company is supposed
to act as though the union were not present,” NLRB
v. Industrial Erectors, Inc., 712 F.2d 1131, 1135 (7th
Cir. 1983). Otherwise, “[e]mployees will predictably
consider that the union is somehow responsible for
their failure to receive expected raises.” Plasticrafts,
152-153 (2d Cir. 1981) (employer took “pains to refrain from
capitalizing on the withholding” of a wage increase; “the with-
holding did not have an anti-union purpose or effect”); NLRB
v. Planters Peanuts, 574 F.2d 400, 401, 405 (8th Cir. 1978) (per
curiam) (employer acted “in good faith” and was not “trying to
undermine the Union, or attempting to influence the votes of
the employees”); Free-Flow Packaging Corp. v. NLRB, 566
F.2d 1124, 1130 (9th Cir. 1978) (“the circumstances were not
such as to give rise to an inference of antiunion motive”).
13
Inc. v. NLRB, 586 F.2d 185, 188 (10th Cir. 1978). See
also Pet. App. 63 (discussing Atlantic Forest Prods.,
Inc., supra). Because the Greenville wage increase
was “planned and expected” (Pet. App. 20), Roberts
lawfully could have advised the employees that peti-
tioner would move forward with the wage adjustment
process without regard to the fact that a repre-
sentation petition had been filed. Alternatively, peti-
tioner could have advised the employees that it would
postpone the increase until after the election, pro-
vided that the company also made clear that the
postponement was solely to avoid any appearance of an
attempt to influence the election and refrained from
making statements designed to undermine employee
support for the Union. See id. at 64 (discussing
Atlantic Forest Prods., Inc., supra).'
4 Petitioner errs in asserting (Pet. 11) that Atlantic Forest
Prods., Inc. is “contrary to previous Board law.” That
decision simply restated and applied principles previously
established by the Board in Uarco, Inc., 169 N.L.R.B. 1153
(1968). See Atlantic Forest Prods., Inc., 282 N.L.R.B. at 857-
859. Also without merit is petitioner’s suggestion (Pet. 11 n.5,
12-13) that the finding that Roberts’ speech was unlawful is
inconsistent with prior Board decisions. None of the cases
relied upon by petitioner involved an employer who used its
decision to withhold a benefit as a means of undermining
employee support for the union. See Hovey Elec., Inc., 302
N.L.R.B. 482 (1991) (employer “did not attribute the decision
{not to disclose a promised wage plan] to the union or the union
campaign”), enforcement granted in part and denied in part
on other grounds, 964 F.2d 543 (6th Cir. 1992); Cutter Labs.,
Inc., 221 N.L.R.B. 161, 169 (1975) (evidence “does not establish
that the [employer] sought to capitalize on the absence of the
wage increase as an issue with which to undermine the
Union”); Great Atlantic & Pacific Tea Co., 192 N.L.R.B. 645,
646 (1971) (no evidence that “[the employer] in any way sought
to capitalize on the absence of a wage increase by connecting
14
3. Finally, petitioner’s contention (Pet. 27) that
Hyde’s February speech is protected by Section 8(c)
of the Act is without merit. Section 8(c) provides, in
pertinent part, that “(t]he expressing of any views,
argument, or opinion * * * shall not constitute or be
evidence of an unfair labor practice * * * if such
expression contains no threat of reprisal or force or
promise of benefit.” 29 U.S.C. 158(c). Because his
comments contained threats of reprisal through clos-
ing the plant (Pet. App. 16-17), Hyde’s speech falls be-
yond Section 8&(c)’s aegis. Given “the Board’s com-
petence in the first instance to judge the impact of
utterances made in the context of the employer-
employee relationship” (NLRB v. Gissel Packing Co.,
395 U.S. 575, 620 (1969)), the Board’s finding of im-
proper coercion, which was upheld by the court of
appeals, raises no issue meriting this Court’s review.
In any event, the court of appeals’ decision fully
comports with this Court’s precedent. See id. at 619
(speech improper where petitioner characterized
union as “strike-happy,” threatened that strike would
lead to a plant shutdown, and indicated that the strike
would likely leave the employees out of work).°
the absence with the Union or the employees’ support of the
Union”).
5 Petitioner’s contention (Pet. 25-26; see also Pet. 14) that, in
determining whether speech was coercive, the Board and the
court may examine only the written text of the speech and
must ignore its implications is meritless. Gissel, 395 U.S. at 617
(“[aJny assessment of the precise scope of employer expression,
of course, must be made in the context of its labor relations
setting * * * takling] into account the economic dependence
of the employees on their employers, and the necessary tend-
ency of the former, because of that relationship, to pick up
eee a ae
15
Lastly, petitioner’s contention (Pet. 28-29) that
Hyde’s speech was not unlawful because, nearly
a month earlier, unspecified “members of manage-
ment” had informed the Greenville employees of their
striker reinstatement rights® is without merit and
undeserving of this Court’s review. Neither the
Board nor the court made a finding that management
actually made these statements. In any event, given
the substantial time lag between these alleged dis-
cussions and Hyde’s speech, whatever information
may have been conveyed at those meetings would have
been nullified by Hyde’s subsequent coercive state-
ments, equating a Union victory with the inevitabil-
ity of strikes and with permanent loss of employment
with petitioner. See Pet. App. 17.
intended implications of the latter that might be more readily
dismissed by a more disinterested ear”).
® See Laidlaw Corp., 171 N.L.R.B. 1366 (1968) (permanently
replaced economic strikers, who have made an unconditional
offer to return to work, are entitled to full reinstatement when
positions become available, and to placement on a preferential
hiring list if positions are not available), enforced, 414 F.2d 99
(7th Cir. 1969), cert. denied, 397 U.S. 920 (1970).
16
CONCLUSION
The petition for a writ of certiorari should be
denied.
Respectfully submitted. ;
WALTER DELLINGER
Acting Solicitor General
FREDERICK L. FEINSTEIN
General Counsel
LINDA SHER
Associate General Counsel
NORTON J. COME
Deputy Associate General Counsel
JOHN EMAD ARBAB
Attorney
National Labor Relations Board
SEPTEMBER 1996
This is a copy of a public record, reproduced as it was published. It is not legal advice, and it may not be the version a court would rely on. Check the official source before you cite it.