American Screw Co.

National Labor Relations Board - Board Decisions

Dec 18, 1958

122 N.L.R.B. 485 (N.L.R.B. 1958)

AMERICAN SCREW COMPANY 485
American Screw Company and William J. Bedard
United Steelworkers of America , AFL-CIO ; and Local 4123,
United Steelworkers of America , AFL-CIO and William J.
Bedard and American Screw ' Company, Party to. the Contract.
Cases Nos..1-CA- 9246 and 1-CB-388. December 18, 1958
DECISION AND ORDER
On April 25,;1958, Trial Examiner Max M. Goldman issued his
Intermediate Report in the. above-entitled proceeding, finding that the
Respondents . had engaged in certain unfair . labor, practices and
recommending. that they cease, and,desist. therefrom and take certain
affirmative action, as set forth in the copy of the Intermediate Report
attached hereto. Thereafter, the Respondents. filed exceptions to the
Intermediate Report accompanied by supporting briefs. The Gen-
eral Counsel filed no exceptions.''
The Board has reviewed 'the rulings of the Trial Examiner made
at the hearing and finds that no prejudicial error was committed.
The rulings are hereby affirmed. The Board has considered the Inter-
mediate Report, the exceptions and briefs, and the entire record in
these cases, and, hereby adopts the findings; conclusions, and recom-
mendations of the Trial Examiner, with the additions hereinafter
.set forth.'
The 'facts :in this case are briefly these :
For many years, the Respondent, United Steelworkers of America,
AFL-CIO, herein called the International, has had union-shop con-
'tracts, with the Respondent, American Screw Company, which pro-
vided for checkoff of dues upon voluntary authorization of employees.
Pursuant to such contractual arrangement, up to the time of the
events in this case, the Company checked off the dues of its approxi-
mately 700 employees working at its plant in Willimantic, -Con-
necticut, all of whom were members of the Respondent, Local 4123
of the. Steelworkers, and mailed a check for the amount, of the dues
to the International's secretary-treasurer at union headquarters in
Pittsburgh, Pennsylvania.
In September 1956, by convention action of the. International,
monthly dues were raised from $3 to $5, effective October. 1, 1956.
This met with the disapproval of some employees, including .Bedard,
the Charging Party, who refused to sign new cards authorizing the
deduction of the higher dues. However, during the 3-month period
here in question, namely. December 1956 to February 1957, inclusive,
i As the Trial Examiner made no determination as to whether there was any independ-
ent violation of Section 8(b) (1) (A) by threatening reprisals as alleged and no exception
has been taken to his failure to do so, we shall, dismiss this allegation pro forma.
122 NLRB.No. 74.
486 DECISIONS OF NATIONAL LABOR RELATIONS BOARD
Bedard offered in each of these months to pay the new dues to officers
of Local 4123, including its financial secretary, who declined to accept
the dues on the stated ground that they had no authority to do so.'
A union meeting of company employees took place on February 2,
1957. There is a conflict in testimony as to what was said at this
meeting, a conflict which was not resolved by the Trial Examiner.
According to Bedard's testimony, John N. Gould, an International
`s'taff°repsentative, stated at'this meeting" tiat "they were going to
make it as difficult as possible for those who had not signed a check-
off card to pay their dues" . . . and, accordingly, "the dues had to
be paid in person" at the International's area office in Providence,
Rhode Island.3 This was denied by Gould and officials of the local
who testified that the employees were offered the additional alterna-
tive of mailing their dues to the International 's area office in
Providence.
On February 27, 1957, Bedard being more than 3 months in arrears
in dues, the International requested the Company to discharge
Bedard.4
The existing Union-shop contract required the Company "to dis-
charge any employee who is adjudged by the Local Union to be a
member not in good standing" by reason of nonpayment of dues. It
also provided that "such discharge shall not become effective until
the Local Union's decision is discussed by the President of the Com-
pany and the Sub-District Director of the Union or their designated
representatives."
Accordingly, a meeting was held at the Company's office on Febru-
ary 28, 1957, between Frank P. Warren, the Company's director of
industrial relations , Gould, the International 's representative , certain
officers of the local (not including the financial secretary) and
Bedard. At this meeting, Bedard stated that he had offered to pay
his dues to the Local's financial secretary, and Bedard again offered
to pay his dues to Gould. Gould declined the offer, stating that
he had no authority to accept dues.5 According to Bedard's testi-
mony, Gould stated that employees who did not authorize checkoff
2 In prescribing the "Duties of Local Union Officers," the constitution of the Inter-
national provided : "The Financial Secretary shall receive all money due the Local
Union ...
3A distance of about 50 miles from the Company 's plant in" Willimantic, Conn.
4 The International 's constitution defined a member in good standing as one who "is not
more than three months in arrears [ in dues ]." It further provided that "Members who
lose good standing shall stand automatically expelled and shall not be reinstated in good
standing except upon such terms as the Local Union and the International Executive
Board may decide ." As of February 27, 1957, Bedard owed as dues a $2 balance for
each of the months of October and November 1956, and $5 for each of the following
3 months, a total of $19.
5 At the hearing the Respondents asserted that an International administrative ruling,
hereinafter referred to, prohibited the handling of cash by staff representatives or local
officers. However, on March 1 , 1957, Gould accepted cash from another employee who
journeyed to Providence to pay his dues , and predated his receipt to February 28, 1957.
AMERICAN SCREW COMPANY 487
of their dues could pay them only by appearing in person at the
union office in Providence. The Respondents' witnesses in general
denied this and testified that Bedard was given the additional alterna-
tive of mailing his dues to Providence. The Company suspended
Bedard because, according to a letter written in March 1957 by
Warren to a Board field examiner :6
... Mr. Bedard stated that he would not sign a checkoff card
-and 'that. hey fwdttld not journey to Providence, "Rhode Island,
to pay his dues.
Since Mr. Bedard would not journey to Providence, Rhode
Island to pay his dues, the company informed Mr. Bedard that
he was suspended as of February 28, 1957 at 3:30 p.m.
Thereafter, in March 1957, Warren notified Bedard that Warren
had been advised by the Union that Bedard would be reinstated in
good standing if he paid his dues by mail. Bedard then mailed his
dues to the Providence office. On April 4, 1957, Warren offered
Bedard reinstatement to his job; however, Bedard.:declined to^accept
the offer and, instead, quit on April 8, 1957.7
The Trial Examiner concluded that the Company violated 8(a) (3)
and (1) and that the Unions violated 8(b) (2) and (1) (A) in con-
nection with Bedard's suspension. He based these conclusions on
findings that : (1) the International's constitution authorized "finan-
cial secretaries of local unions" ... "to collect dues directly from
employees who have not executed checkoff authorizations"; (2) con-
trary to the Respondents' contentions, the International's subdistrict
director, Spitz, had no power, by issuance of an administrative ruling
requiring payment of such dues at the union office in Providence,
Rhode Island, to strip Local 4123's financial secretary of authority to
collect -thewdues;--and -(3.) Bedard, in January 1957,. had made a full
and unqualified tender to the financial secretary of Local 4123. In
reaching these conclusions the Trial Examiner recognized the exist-
ence of the conflicts in testimony referred to above, but found it
unnecessary to resolve them.
The Respondents in substance contend that : (1) the unions did
not-exceed- the limitations - of -the union'-constitution in- requiring
dues to be paid at the union office; and (2) even if the unions ex-
ceeded such limitations, the Act protects "the right of a labor organi-
zation to prescribe its own rules with respect to the acquisition or
retention" of union membership. In addition, the Company con-
tends that, in any event, the Company had a right to rely on union
8 The Intermediate Report does not set forth what transpired at the February 28 meet-
ing except to quote from Warren's letter giving his version thereof.
7 As Bedard quit, no issue of reinstatement is involved here.
'488 DECISIONS OF NATIONAL LABOR 'RELATIONS BOARD
representations 'as to what union ' rules required for the 'payment of
dues and'that the Company, in suspeliding'Bedard; d'id'rely on the
unions'' `representation" that union rules required payment of dues
at. the tlnion'office. We reject''these contentions for the reasons here-
inafter indicated.
We affirm the Intermediate Report. In so doing,' we agree with
the Trial Examiner that' Spitz exceeded his constitutional authority
in ,requiring, union niembers^ including: Bedard, 'to pay, dues at or
through the union office in Providence, and that, inasmuch as ,Bedard,
in January 1957, made a valid tender of dues to the local's financial
secretary,. who .was authorized to collect them,' the Respondents can-
not rely on their union shop, ,contract as a. defense to their..otherwise
unlawful conduct;of February 28,_195.V-
independently. of` the. foregoing, our principal ground for finding
the unions' conduct to be unlawful is that the unions requested
Bedard's discharge, not for nonpayment of dues . but because he
refused to sign. a .new* checkoff, authorization According to Bedard's
testimony, at, the union meeting on February 2, 1957, Gould stated
that the union was "going to make it as difficult as possible for
those ..who had not signed a "checkoff card" W and "that. such persons
would. have to ,make a trip to 'Providence, Rhode Island, to pay their
dues in person at 'the, union office there. This. ,was' denied by Gould
and officers of the local.. As stated above, the Trial Examiner did
not.find it necessary; to ;resolve this conflict in testimony. We credit
Bedard's testimony for the 'following reasons" (1), Bedard's testis
mony is corroborated by the testimony of Schamback, a 'disinterested
witness, who was a union steward at; the time of the meeting; (2)
Bedard's' version is supported' by statements in Warren's, letter,
quoted above, and by; by Warren at the hearing' to the
effect that the union, at the February 28 'meeting, required Bedard
to go, to Providence to pay, his dues as the only alternative to a
checkoff; (3employees' York,, George, and, Rechel likewise: testi-
' 8 The' Respondents , as noted above , also argue ih.effect . that, - even if the constitution
authorized the local financial secretary to collect non-checked - off dues and even if Spitz
had no authority to require payment of the dues 'at' the' union office , the Respondents'
'conduct with respect to ' Bedard's suspension did not violate the Act because the proviso
to Section 8(b),(1) (A) affords a labor, organization protection . against impairment of the
right to prescribe:its own rules with respect -to acquisition of retention of union member-
.ship._ The proviso affords the Respondents no protection here . r If, Spitz had no authority
to issue a rule requiring payment of dues at the union office, no such . union rule came into
es'isteiiee which could'be'the ^ subject of impairment. Moreover , the'Board ' has'held that;
.althoug'h ' a'union may deny or , terminate' union membership on any ground , the proviso
does not protect union conduct . which causes or, attempts to cause discrimination with
'respect to hire ' or tenure ' of employment . .'See, for example,' The Babcock , & Wilcox
.Company,, 110, NLRB '116. ( causing employer to discriminate , in hiring as a- result, of
union rules regarding jurisdiction of subordinate lodges, held not protected by Section
8(b) (1) (A) proviso) ; Pacific Intermountain Express Company,. 107 NLRB 837, 843
(proviso held not to protect union's unlawful determination of seniority. on basis of union-
membership status merely because contract's seniority ' provisions were formulated pur=
suant to union 's rules and' bylaws).
AMERICAN, SCREW COMPANY 489
fled that, at a time when they had not signed,checkoff authorizations,
they, were' told by.,Gould that their' only. alternative,, was to go to
.Providence to.pay,their dues and that failure to do so would subject
,them, to dismissal ;and, according. to'George,'he was told by Spitz ; "I'll
.see that you ,sign `a, checkoff card, or else"; .(4) Gould's reliability
as; a, witness: is. weakened by..his; testimony that a; letter, referred to
in the Intermediate Report, was discussed at the February 2 meeting,
.when, in fact, the letter. was' not written until a later date;; and (5)
although ., the,;R,espondents ,claim that union representatives such as
-Gould were not. authorized .to accept cash in payment of, dues, Gould
accepted cash from George at the Providence; office after having re-
jected it the day before at the Company's plant in Willimantic.
.For, the ., reasons. indicated, . we conclude that , the unions. required
Bedard to travel to Providence. to pay his dues, as,'the sole alterna-
tive, .to signing a checkoff authorization;, in order to force Bedard
to execute -a checkoff authorization., This, Bedard had a 'right under
the :Act,,;to. refrain , from. doing. By requesting his discharge, the
unions sought to penalize Bedard for., exercising such right and-thus
violated .the Act.
We also, find that the Company. had reasonable. ground for believ-
,ing that Bedard's union membership had been, terminated for reasons
other than nonpayment of. dues and thus the Company cannot. justify
its conduct in suspending Bedard. At the February; 28 meeting,
Bedard stated,. in, the presence of:,Warren,; that he had offered to
pay .his. dues to; the local financial' secretary, and, at this' meeting,
which,,was.,attended 'by representatives'of., both the local. and the
International :who were acting on behalf'of their respective organiza-
tions, in seeking,-Bedard's discharge, Bedard again offered. to pay his
dues:. In! addition, Warren acknowledged in his, letter, referred to
above, that, he, suspended Bedard because,he .refused to comply with
the ,union demand that he, either, authorize a checkoff or pay his dues
in person at the; union office in, Providence. .
On the basis of the foregoing, we conclude that, in requesting
Bedard's discharge, the Respondent Unions violated'Section 8(b) (2)
and.'(1.).(A)' of the Act and that, in suspending Bedard, the Respond-
ent,Company..violated Section 8(a) (3) and (1) thereof..
..ORDER-. . ,
Upon' the entire record in these ' cases, and pursuant to' Section
10(c) of the National'La'borRelations Act, as ameinded, the National
Labor ' Relations Board ' hereby orders that:
A. The Respondent , American Screw Company, Willimantic, Con-
necticut, its-officers , agents, successors , and, assigns , shall:.,
490 DECISIONS OF NATIONAL LABOR RELATIONS BOARD
1. Cease and desist from :
(a) Encouraging membership in the Respondent Unions, or in
any other labor organization, by suspending employees from employ-
ment or by discriminating against them in any other manner in
regard to their hire or tenure of employment or any term or condi-
tion of employment, except to the extent permitted by Section
8(a) (3) of the Act.
(b) In any like or related manner interfering with, restraining,
or coercing its employees in the exercise of the rights guaranteed
in Section 7 of the Act, except to the extent that such rights may
be affected by an agreement permitted by Section 8(a) (3) of the
Act.
2. Take the following affirmative action, which the Board finds
will effectuate the, policies of the Act :
(a) Jointly and severally with the Respondent Unions make
whole William J. Bedard for any loss of pay suffered as the result of
the discrimination against him in the manner set forth in the section
of the Intermediate Report entitled "The Remedy."
(b) Preserve and make available to the Board or its agents, upon
request, for examination and copying, all payroll records, social
security payment records, timecards, personnel records and reports,
and all other records necessary to analyze the amount of back pay
due under the terms of this Order.
(c) Post at its plant at Willimantic, Connecticut, copies of the
notice attached hereto marked "Appendix A."° Copies of said notice,
to be furnished by the Regional Director for the First Region, shall,
after being duly signed by the Respondent Company's representative,
be posted by it immediately upon receipt thereof, and maintained by
it for sixty (60) consecutive days thereafter in conspicuous places,
including all places where notices to employees are customarily
posted. Reasonable steps shall be taken by the Respondent Company
to insure that said notices are not altered, defaced, or covered by
any other material.
(d) Post at the same places and under the same conditions as set
forth in (c) above, and as soon as they are forwarded by the Regional
Director, copies of the Respondent Unions' notice herein, marked
"Appendix B."
(e) Notify the Regional Director for the First Region, in writing,
within ten (10) days from the date of this Order, what steps the
Respondent Company has taken to comply herewith.
B. The Respondent Unions, United Steelworkers of America,
AFL-CIO, and Local 4123, United Steelworkers of America, AFL-
In the event that this Order is enforced by a decree of a United States Court of
Appeals, there shall be substituted for the words "Pursuant to a Decision and Order" the
words "Pursuant to a Decree of the United States Court of Appeals , Enforcing an Order."
AMERICAN SCREW COMPANY 491
CIO, their officers, agents, representatives, successors, and assigns,
shall :
1. Cease and desist from :
(a) In any manner causing, or attempting to cause, the Respond-
ent Company, its officers, agents, successors, or assigns, or any other
employer, to discriminate against any employee in regard to hire
or tenure of employment or any term or condition of employment,
except to the extent permitted by Section 8(a) (3) of the Act.
(b) In any like or related manner restraining or coercing em-
ployees of the Respondent Company, its successors or assigns, or any
other employer, in the exercise of the rights guaranteed by Section 7
of the Act, except to the extent that such rights may be affected by
an agreement permitted by Section 8(a) (3) of the Act.
2. Take the following affirmative action, which the Board finds
will effectuate the policies of the Act :
(a) -Jointly . and, severally.. with the Respondent Company make
William J. Bedard whole in the manner set forth in the section of
the Intermediate Report entitled "The Remedy."
(b) Post at the union office or place of business in Providence,
Rhode Island, and at all locations where notices to union members
are customarily posted, copies of the notice attached hereto marked
"Appendix B.71d Copies of said notice, to be furnished by the
Regional Director for the First Region, shall, after being duly signed
by representatives of the Respondent Unions, be posted by them
upon receipt thereof and maintained by them for a period of sixty
(60) consecutive days thereafter in conspicuous places, including all
places where notices to union members are customarily displayed.
Reasonable steps shall be taken by the Respondent Unions to insure
that said notices are not altered, defaced, or covered by any other
material.
(c) Mail to the Regional Director signed copies of Appendix B
for posting by the Respondent Company- at its plant in Willimantic,
Connecticut, Ias provided above herein. Copies,of said notice, to. be
furnished by the Regional Director for the First Region, shall, after
being signed by the Respondent Unions' representatives, be forth-
with returned to the Regional Director for disposition by him.
(d) Notify the Regional Director for the First Region, in writing,
within ten (10) days from the date of this Order, what steps the
Respondent Unions have taken to comply herewith.
IT IS FURTHER ORDERED that the complaint against the Respondent
Unions be, and it hereby is, dismissed insofar as it alleges that the
Respondent Unions threatened employees with reprisals in violation
of Section 8(b) (1) (A) of the Act.
10 See footnote 9.
492 DECISIONS OF, NATIONAL LABOR RELATIONS BOARD
APPENDIX A
NOTICE TO ALL EMPLOYEES
Pursuant to' a. Decision 'and Order of the National Labor Relations
' Board, 'and in • order to effectuate the policies of the' National Labor
Relations Act, we hereby notify our: employees that
WE WILL NOT encourage. membership in United Steelworkers of
America, AFL-CIO, or Local 4123, 'United' Steelworkers of
America, AFL-CIO, or any' other labor organization;` by sus-
periding employees 'from employment'; or by diseriiriinating
against them' in any other manner in regard to their 'hire or
teriur'e of employment or any' term or condition of employment,
except to' the' extent permitted by Section 8(a) (3) of the Act.
WWE WILL' NOT in any like or, related manner ' restrain or coerce
our employees in the exercise of the rights guaranteed in See-
tioii 7 of the' Act, except to the extent that such rights may be
affected by an' agreement' permitted by Section 8(a):(3) of the
Act.
WE ' WILL jointly and severally with the above-named Unions
make William J. Bedard: whole for any loss of money he may
have suffered ' as a result ' of the discrimination against him.
AMERICAN.SCREw COMPANY,
Employer.
Dated---------------- 'By-- ------------------.---------------
(Representative ) (Title)
This, notice must remain posted, for..6.0 days from the date hereof,
and must not be altered, defaced, or covered by any other material.
APPENDIX B
'NOTICE TO ALL MEMBERS ' OF • UNITED STEELWORKERS OF AMERICA,
AFL-CIO; AND • LOCAL 4123 UNITED STEELWORKERS OF AMERICA,
-'AFL--:CIO, AND' TO ALL EMPLOYEES OF AMERICAN' SCREW COMPANY
Pursuant to a Decision and Order; ,of the National Labor Relations
Board, and, in ,order to effectuate. the policies of the National Labor
Relations ;Act;. we hereby, notify. our, employees.. that
W, E'''WILL NOT' cause or attempt to 'cause American Screw
Company, its, officers, agents, . • successors, or, assigns, -or any
other: employer, -to discriminate against employees in regard to
'their •hire,or-tenure of employment or any term or condition' of
employment, except Vtothe. extent permitted by -Section 8(a) (3)
of the Act.
WE WILL NOT in any like or related manner restrain 'or coerce
employees of the above-named Company, its successors or assigns,
AMERICAN SCREW COMPANY 493
or any other employer, in the exercise of the rights guaranteed
in Section 7 of the Act, except to the extent that such. rights
may be affected by an agreement permitted by Section 8(a) (3)
of the Act. '
WE WILL jointly and severally with the above-named Company
make William J. Bedard whole for any loss of money he,may
have suffered as a result of the discrimination against him.
UNITED STEELWORKERS OF AMERICA, AFL-CIO,
Labor Organization.
Dated---------------- By---------------------------=---------
(Representative ) . (Title)
„ LocAL 4123, UNITED STEELWORKERS OF
AMERICA, AFL-CIO,
Labor Organization.
Dated-------------- - - By------------------------------- -----=
(Representative ) (Title)
This notice must remain posted for 60 days from the date hereof,
and must not be altered, defaced, or covered by any other material.
INTERMEDIATE REPORT AND RECOMMENDED ORDER
STATEMENT OF THE CASE
.Upon charges filed by William J . Bedard , an individual , herein referred to as
the Charging Party, the General Counsel by the Regional Director for the First
Region ( Boston, Massachusetts), of the National Labor Relations Board , herein
called the Board, issued complaints dated June 7, 1957, against American Screw
Company, herein '. referred to as the Respondent Company or the Company, and
United Steelworkers of America , AFL-CIO, and Local 4123, United Steelworkers
of America , AFL-CIO, herein referred to as the Respondent Unions, the Interna-
tional Union or the Local Union , alleging that the Company and the Respondent
Unions respectively violated Section 8(a)(1) and (3), and Section 8(b)(1) and (2),
and Section 2(6) and (7) of the Act. Copies of the charge , the complaint , an order
consolidating the cases and notice of hearing were served upon the parties. The
respective answers by the Respondents deny the commission of unfair labor practices.
.Pursuant to notice a hearing was held before the duly designated Trial Examiner
on October 3, 4, and 7, 1957, at Willimantic , Connecticut . Full opportunity to
be heard, to examine and cross -examine witnesses ,. and to introduce evidence bear-
ing on the . issues was afforded the parties. Briefs were received from the General
Counsel and the Respondents.
Upon the entire record in the case , and from his observation of the witnesses, the
Trial Examiner makes the following:
FINDINGS OF FACT
I..THE BUSINESS OF THE RESPONDENT COMPANY
American Screw Machine Company, a Rhode Island corporation, with its prin-
cipal office and place of business at Willimantic, Connecticut, is engaged in the
manufacture and sale of fasteners, screws, nuts and bolts, and related products. In
the course of its business the Company causes large quantities of metals used in
the manufacturing processes to be purchased and transported in interstate com-
merce and causes finished products valued in excess of $50,000, annually, to be
sold and transported to States other than the State of Connecticut. The Respond-
ents admit and the Trial Examiner finds that the Company is engaged in commerce
within the meaning of the Act.
494 DECISIONS OF NATIONAL LABOR RELATIONS BOARD
H. THE LABOR ORGANIZATIONS INVOLVED
United Steelworkers of America, AFL-CIO, and Local 4123, United Steelworkers
of America, AFL-CIO, are labor organizations within the meaning of the Act.
III. THE UNFAIR LABOR PRACTICES
A. The events
At the request of the Respondent Unions under the union-security provision of
its contract with the Company, the Company suspended William J. Bedard from
employment on February 28, 1957. The General Counsel contends that this sus-
pension violates the Act relying, among other things, upon Bedard's offer to pay
his dues in January 1957, to Charles Carpenter, financial secretary of the Local
Union, as a valid tender.
For years the employees, including Bedard, had been members of the Respond-
ent Unions and had their dues checked off by the Company, pursuant to authoriza-
tions. In the fall of 1956, dues were increased from $3 to $5 a month by con-
vention of the International Union. Members of the Local Union were, however,
displeased'with-the increase and or.the,manner in which it was-enacted. Employees
established a Protest Committee, and a petition was circulated among the employees
to secede from the International and cease paying dues. Among the leaders of
this movement was Alexander Usenia, vice president of the Local. Among the
supporters of this movement was Bedard. In about the middle of October, Usenia
appeared with the petition at a meeting of the New England Steel Advisory Board
which was attended by other officers of local unions in the area and found that he
could not obtain support for the secession movement. Usenia thereupon gave up
his efforts toward secession. Usenia thereafter explained to Bedard that he was
withdrawing from the movement because if he left the organization he could not
attend the convention and present his views. Bedard then declared that if they
tried to make him pay his dues, he could quit and take the case to the Supreme
Court. During this period, Lawrence N. Spitz, the International Union's director
for the Providence subarea, informed John N. Gould, staff representative who serv-
iced the Local Union, that he was sympathetic with the views of the men and in-
structed him to inform the men that they were going about it in the wrong way
and`that they,shouldrremain in the organization. Gould carried out these instructions
in his contacts with the men.
The then existing checkoff authorizations contained an express limitation of $3 a
month for dues, and in December 1956, when dues at the $5 rate were to go into
effect, some foremen and union stewards distributed new checkoffs to the men at
the plant. The men protested signing the new cards and when Gould visited the
plant he sought to persuade them to sign the cards by pointing out the convenience
of paying dues by checkoff for everyone concerned. Gould testified that on the
occasions when he talked with the employees he informed them that as an alterna-
tive to signing checkoff cards they could pay in person at the Providence office of
the Union or send their dues to the Providence office. Other witnesses testified
that they were not informed that they could send their dues to the Providence office.,
In December several employees offered to pay their dues to officials of the Local
Union. Bedard offered to pay $5 dues to Bill Schamback, his department steward,
but Schamback declined his offer explaining that he had no authority to accept dues
and that in any event he had no way of giving Bedard a receipt for cash. Em-
ployees Joseph Rechel, Benjamin York, and. Joseph George made offers to pay their
dues in cash to Carpenter, financial secretary of the Local Union,-and he also
declined explaining that he lacked authority to accept the money. In January
1957 Bedard made additional efforts to pay dues. Bedard offered to pay dues to
Archie Viens, recording secretary of the Local Union, and Viens also declined,
suggesting that Bedard send the money to I. W. Abel, secretary-treasurer of the
International Union at Pittsburgh. In January, Bedard also offered to pay dues in
cash to Carpenter, and he, too, 'declined explaining that he could not give Bedard
a receipt and that he was told by the Providence office not to accept dues. In the
course of this incident, Bedard urged upon Carpenter that as financial secretary,
he was obliged to accept dues and quoted to him article VIII, section 4, entitled
1 There is a conflict as to whether employees were informed on this and other occasions
that they might send their dues to the Providence office in lieu of signing a checkoff
authorization card or paying dues in person at Providence, a distance of about 50 miles
from the plant. The existence of this conflict is noted in the presentation of the facts.
However, as the Trial Examiner does not view the resolution of this fact issue as neces-
sary to a decision In the proceeding, the issue will remain unresolved.
AMERICAN SCREW COMPANY 495
"Duties of Financial Secretary ," from the. constitution . This and other provisions
of the constitution are "set forth in Appendix A. During this month' ' Rechel and
George also sought to pay dues to Carpenter and he again declined to receive their
dues giving essentially the same explanation as he had given them the month before.
On February 2, a stewards ' meeting was held . It was followed by a membership
meeting . At these meetings , according to Bedard and Schamback , Gould declared
that only those who did not sign checkoff cards would have to pay the dues in
person at the Providence office . According to Gould , Usenia and Earle Rose,
president of the Local Union , the following methods for the payment of dues were
announced : ( 1) checkoff; (2) sending dues to the Providence office; and (3 ) paying
in person at the Providence office. Further, according to Gould, Bedard insisted
that under the constitution he had a right to pay the Local Union 's financial secre-
tary and Gould pointed out that that was not a correct interpretation of he con-
stitution . Carpenter thereupon , according to Gould , produced a letter dated Feb-
ruary 20, from the office of I . W. Abel , secretary-treasurer of the International Union,
addressed to employee York, the body of which reads as follows:
We are returning herewith your - Money Order in the amount of $5, which
you advise is for dues.
Kindly pay these dues directly to the Financial Secretary of the Local Union
No. 4123.
Gould explained to the group according to his testimony that apparently Abel did
not know that the Local Union was on a checkoff basis for dues payment and must
have assumed that the Local Union had a procedure under which cash payments for
dues were payable to the Local Union 's officers.2
About February 15, Bedard again unsuccessfully sought to pay his dues to Scham-
back. About the same time Rechel and George sought to pay Carpenter and they,
too, were unsuccessful . Later in the month York received the letter referred to
above, which Gould testified was a subject of discussion at the February 2 meeting,
dated February 20, from Abel. York showed the letter to Rose and Carpenter.
York offered Carpenter the money order which had been enclosed with the letter.
Carpenter declined the money order stating he had no authority to accept it.
. On::February . 28, a series of.interviews was held with employees on various shifts
who were to become delinquent in their - dues - and wouldebe!subject to suspension
the next day . York, who would not have become delinquent the next day but who
had not signed a checkoff card , was also called in. Present were Frank P. Warren,
director of industrial relations for the Company , Gould, and certain of the officers
of the Local Union . Concerning the Bedard interview which ended between 3 and
4 p.m. Warren wrote the Regional Office on March 14 as follows:
On February 27, 1957, the United Steelworkers Union asked for the dis-
charge of Mr. Bedard , stating he was three months in arrears in paying his
Union dues.
Mr. Bedard was interviewed by me on February 28, 1957 in the presence
of Mr . John Gould , United Steelworkers Staff Representative ; Mr. Louis Piazza,
Chief Steward of Local 4123 . I informed Mr. Bedard that as a condition of
employment he had to pay his Union dues. Mr. Bedard offered to pay his
back dues to Mr . Gould . Mr. Gould stated he could not accept cash from
any Union member as the United Steelworkers Union constitution permitted
only certain authorized persons to handle cash . Mr. Gould informed Mr.
Bedard : that his ' dues could not be paid at the United Steelworkers office in
Providence , Rhode Island , which had been previously designated as the office
where union members who had not signed check-off authorization cards could
pay monthly dues. Mr. Bedard stated that he would not sign a check-off card
and that he would not journey to Providence , Rhode Island , to pay his dues.
The American Screw Company Agreement with United Steelworkers Union
provides for check-off of monthly dues for those employees who properly ex-
ecute the individual authorization card (Form 530 of the International Union).
The Agreement does not provide for any other method of paying monthly dues.
In the absence of such a provision the company did rely on the rules of the
United Steelworkers for such collection.
Since Mr . Bedard would not journey to Providence , Rhode Island to pay
his dues, the company informed Mr. Bedard that he was suspended as of
February 28, 1957, at 3:30 P.M.
2 Spitz, who was not present at this meeting, testified that since about 1948, manual,
collection of dues had been eliminated in his area and that all 42 plants in his jurisdiction-
were under a checkoff.
496 DECISIONS OF' NATIONAL LABOR RELATIONS BOARD
Warren • testified that during the 'course ' of the interviews he first realized that in
addition to paying dues by checkoff; employees could pay dues by going to Providence.
When Rechel and George were interviewed at about 6 p.m. on February 28 they
offered to pay their dues in cash. Gould refused to accept explaining that he did
not have authority to accept cash. Rechel also offered 'to pay by Credit Union
check payable to cash and by personal check 'payable to Gould, under Gould's
version;' or by personal' check payable to the International Union or a Credit Union'
check payable to cash under Rechel's version. Gould' did' not accept the'checks.
Gould did however accept the money 'order payable to International Union from
York who also signed a checkoff card at the interview. There is no showing that
anyone suggested to Rechel that he endorse .the Credit Union check- to the Inter-
national: Union or that he issue another personal check made so payable. The
next day, March 1, both Rechel and George appeared'in Providence, paid their
dues in cash' to Gould and received printed receipts showing the International
Union's name but dated February 28. Gould during this incident declared to
Rechel and George that he should not be accepting cash.
On March 4, Bedard started to work for another, employer where he had several
months earlier unsuccessfully applied for part-time employment. On March 14,
Warren telephoned Bedard and informed Bedard that he.ha(t heard from Spitz and
the Company's attorney that Bedard could pay his dues by check through .the mail
and that he would be reinstated in good standing. Bedard thereafter mailed his
check to the Union.-at Providence. On April 4,' Warren informed Bedard by'phone
that Spitz had declared Bedard in good standing and asked when he was returning
to work. . Bedard asked for a little time to think the matter over and on April 8,
he went to the Company's office and terminated his employment.
B. The conclusions
Spitz testified that under an administrative ruling he had made it has been the
longstanding policy that no staff member, no local union. officer, and no steward
has the -right to collect dues and particularly has no right to handle cash. Spitz
testified further that he had authority to and did instruct the Local Union's finan-
cial secretary, Carpenter, not to accept dues from an employee. Spitz explained
that he established a procedure to protect the Respondent Union 's funds as follows':'
(1) Where there is a checkoff, the Company sends the dues to the International
Union's office in Pittsburgh and that office in :turn sends the proper amount to the
Local Union's financial secretary; (2) where individual employees pay manually they
are to pay to the Providence office, which. in turn sends the funds to the Pittsburgh
office, where proper deductions are made, and . the remaining dues are sent to the
Local Union's financial. secretary. Spitz explained further that this administrative
ruling was issued pursuant to a charge given him by the then _ International presi-
dent, the late 'Philip Murray, and by the district director in Boston in 1946 when
he took over the Providence office. Further, that this charge was again given him
in' writing and it was to the effect that within' the limits of the constitution Spitz
should have' the right to make a.dmistrative decisions which would guarantee the
proper handling of the Respondent Union's funds: Spitz also testified that he was
acting under the authority of article XVII, section 5 of the constitution which reads
as follows:
Article XVII
Contracts
SEC. 5 . No Local Union or other subordinate body, and no officer, agent,
representative or member thereof shall have the power or authority to'repre-
sent , act for, commit or bind the International Union in any matter except
upon express authority having been granted therefor by this Constitution or in
writing by the International President or the International Executive Board.
The Respondent Union also points out for consideration the following additional
provisions of the constitution in its brief:
Article IV
International President
SEC. 6. The President shall interpret the meaning of the Constitution and
his interpretation shall be subject to review by the International Executive
Board. Between sessions of the International Executive Board he shall have
AMERICAN SCREW COMPANY 497
full power to direct the affairs of the International Union subject to the ap-
proval of the Executive Board. He may, in person, or designate an Interna-
tional Officer or a Staff Representative to visit or inspect the office of any Local
Union or District.
SEC. 7. The International President shall have the authority to appoint,
direct, suspend, or remove, such organizers, representatives, agents and em-
ployees as he may deem necessary. He shall fix their compensation subject
to the approval of the International Executive Board.
The constitutional provisions hardly support Spitz' position. It is noted that
article XVII which includes section 5 quoted above to the effect that no Local
Union or its officer shall have authority to bind the International Union except
upon express authority granted by the constitution or in writing by the International
president or the International executive board, is entitled "Contracts." Section 1
of this article requires that the International Union shall be the contracting party
in all collective-bargaining agreements; section 2 provides that where collective-
bargaining agreements contain checkoff clauses, the clauses shall provide that the
Company shall make payment to the International secretary-treasurer; section 3 sets
forth that the International Union and the Local Union to which a member belongs
shall act as his exclusive agent as to grievances; section 4 provides that no officer
member or agent of the International Union or any local union shall have the au-
thority to cause or to ratify a breach of any collective-bargaining agreement. This
article closes with section 5 given above.
On the other hand certain other provisions set forth in Appendix A show the
intent that the financial secretaries of local unions have the authority to collect dues
directly from employees who have not executed checkoff authorizations. Thus
under article VIII, entitled "Duties of Local Union Officers," section 4 provides
that the financial secretary shall receive all money due the Local Union and pay the
same to the treasurer, that in the event the local union financial secretary fails to
report monthly the full membership of the local union and transmit to the Inter-
national secretary-treasurer the full amount or initiation fees and dues, he shall
be suspended from all privileges and benefits until the deficiency is made good and
he shall be liable to the International union for the full amount unpaid. Under
article XIV, entitled "Finances," section 3 provides that the full amount of dues
and initiation fees collected by each local union shall be deposited in a bank ac-
count designated as a trust fund held for the International Union, and that the full
amount of dues, fees and assessments shall be forwarded to the International sec-
retary-treasurer within 15 days of the close of any month. Section 4 sets forth
that the International secretary-treasurer shall after the remittance of the dues and
fees refund a certain portion to the local union. Section 5 provides for the sus-
pension of the local union after certain notice in the event the local union fails to
report and remit the full amount of the fees, dues, and assessments to the Interna-
tional secretary-treasurer. Further the manual for the conduct of local union meet-
ings, states that the financial secretary should report at each meeting the amount of
money submitted to the local union treasurer, that the financial secretary as chair-
man of the dues committee report the activities and progress of that committee,
and that the financial secretary keep an accurate record of the dues collected by
committeemen.
It is accordingly found that the administrative ruling issued by Spitz went beyond
the constitutional limits imposed upon him and were ineffective in stripping the
authority of the Local Union's financial secretary to collect dues directly from
employees who have not executed checkoff authorizations. It is further found that
Bedard in January 1957 made a full and unqualified tender of dues to Carpenter
who as financial secretary was authorized to accept dues from Bedard within the
meaning of the Aluminum Workers International Union Local No. 135, AFL,
case3 and that Bedard's suspension on February 28, 1957, was a violation of Section
8(a)(3) and 8(a)(1), 8(b)(2) and 8(b)(1) of the Act.
IV. THE EFFECT OF THE UNFAIR LABOR PRACTICES UPON COMMERCE
The activities of the Respondents set forth in section III, above, occurring in
connection with the operations of the Respondent Company described in section I,
above, have a close, intimate, and substantial relation to trade, traffic, and com-
merce among the several States, and tend to lead to labor disputes burdening and
obstructing commerce and the free flow of commerce.
112 NLRB 619.
505305-59-vol. 122-33
498 DECISIONS OF NATIONAL LABOR RELATIONS BOARD
V. THE REMEDY
Having found that the Respondents have engaged in unfair labor practices, it
will be recommended that they cease and desist therefrom, and take certain affirma-
tive action designed to effectuate the policies of the Act.
Inasmuch as William J. Bedard was offered reinstatement on April 4, 1957, no
reinstatement order will be recommended and it will be further recommended that
the back-pay liability be ended on that day. It will however be recommended that
the Respondents, Company and Unions, jointly and severally make William J.
Bedard whole for any loss of pay he may have suffered by reason of the discrimi-
nation against him by payment of a sum of money equal to that which he would
have normally earned during the period from February 28, the date of his discrim-
inatory suspension, until April 4, 1957, the date of the offer of reinstatement, less
his net earnings during such period. Back pay shall be computed in accordance
with the formula established in F. W. Woolworth Company, 90 NLRB 289.
On the basis of the foregoing findings of fact, and upon the entire record in the
case, the Trial Examiner makes the following:
CONCLUSIONS OF LAW
1. United Steelworkers of America, AFL-CIO, and Local 4123, United Steel-
workers of America, AFL-CIO, are labor organizations within the meaning of
Section 2(5) of the Act.
2. The Respondent Company has engaged in and is engaging in unfair labor
practices within the meaning of Section 8(a)(3) and (1) of the Act.
3. The Respondent Unions have engaged in and are engaging in unfair labor
practices within the meaning of Section 8(b)(2) and 8(b)(1)(A) of the Act.
4. The aforesaid unfair labor practices are unfair labor practices affecting com-
merce within the meaning of Section 2(6) and (7) of the Act.
[Recommendations omitted from publication.]
APPENDIX A
ARTICLE VIII
Duties of Local Union Officers
SEC. 4. Duties of Financial Secretary. The Financial Secretary shall receive all
money due the Local Union and pay the same to the Treasurer, from whom he
shall take a receipt. He shall also keep accurately the accounts of the Local Union
with its members, and shall at all times have his books open for examination by
the Auditing Committee, and perform such other duties required under the Con-
stitution and as the Local Union may assign . He shall make out the various re-
ports required by the International Secretary-Treasurer and forward such reports to
him in accordance with instructions.
Should it be proved that a Local Union Financial Secretary has failed to report
monthly the full membership of the Local Union as provided for in his report to
the International Secretary-Treasurer and transmit to him the full amount of ini-
tiation fees and dues, he shall be suspended from all privileges and benefits until
the deficiency is made good, and he shall be liable to the International Union for
the full amount unpaid.
The Financial Secretary shall keep a record of all transfer request forms issued
and received.
His accounts shall be subject at all times to audit by the International Secretary-
Treasurer.
ARTICLE XIV
Finances
SEC. 3. The full amount of all dues and initiation fees and assessments collected
by each Local Union shall be deposited by the appropriate officers of the Local
Union in bank account designated as a trust fund held for the International Union.
The officers of each Local Union shall forward to the International Secretary-
Treasurer, within fifteen days after the close of any month, the full amount of the
dues and initiation fees and assessments collected by such Local Union.
SEC. 4. The International Secretary-Treasurer shall, upon receipt of any remit-
tance of dues or initiation fees, referred to in Section 1, determine and remit to
the Local Union Financial Secretary a per capita refund. Two dollars and a half
($2.50) of each monthly dues for each member shall be retained by the International
Secretary-Treasurer and the balance returned to the Local Union. Three dollars
LOCAL 911, IIQT'L BROTHERHOOD OF TEAMSTERS , ETC. 499
($3.00) of each initiation fee for each member shall be retained by the International
Secretary-Treasurer and the balance returned or sent to the Local Union.
SEC. 5. When any Local Union fails to report and remit to the International
Secretary-Treasurer the full amount of initiation fees and dues and assessments as
provided for herein, said International Secretary-Treasurer shall notify the Local
Union President and the Recording Secretary of the Local Union of the fact, and
failing to receive a satisfactory response within ten days thereafter, the Local Union
shall stand suspended. The International Secretary-Treasurer may publish and dis-
tribute a delinquent list of all such Local Unions so suspended.
Manual-Order of Business for Conducting Local Union Meetings
5. Report of Officers.
FINANCIAL SECRETARY: The Financial Secretary should make a report to
each meeting indicating the dues collected and the amount of money submitted to
the Local Union Treasurer. (Sic.) As chairman of the dues committeemen, who
are his assistants , he should report their activities and progress . It is the duty of
the Financial Secretary to keep a record and accurate check of the dues collected
by the dues committeemen.
Local 911, International Brotherhood of Teamsters , Chauffeurs,
Warehousemen and Helpers of America [Wand Corporation] 1
and James Keener and Gideon Parker. Case No. 86-CB-150.
December 18, 1958
DECISION AND ORDER
On November 27, 1957, Trial Examiner Martin S. Bennett issued
his Intermediate Report in this case, finding that the Respondent
Union had engaged and was engaging in certain unfair labor prac-
tices within the meaning of Section 8(b) (1) (A) and (2) of the
Act and recommending that it cease and desist therefrom and take
certain affirmative action, as set forth in the copy of the Intermediate
Report attached hereto. Thereafter the Union and the General
Counsel, filed exceptions to the Intermediate Report, together with
briefsa
The Board has reviewed the rulings made by the Trial Examiner
at the hearing and finds that no prejudicial error was committed.
The rulings are hereby affirmed. The Board has considered the
Intermediate Report, the exceptions and briefs, and the entire record
in the case, and hereby adopts the findings, conclusions, and recom-
mendations -of the Trial Examiner to the extent indicated below.
As the record shows and the Trial Examiner found, Wand, by
terminating its subcontract with Putnam, ousted the complainants
from the work they were doing at • the Johns-Manville building
project. If Wand were before the Board, the conduct, motivated
as it was by discriminatory reasons, would have been found to con-
stitute an unfair labor practice within the meaning of Section 8(a)
(1) and (3) of the Act. Northern California Chapter, The A88o-
The Board having been advised by the AFL-CIO that it deems the Teamsters' cer.
tineate of a iliatidn revoked by convention action , the affiliation is accordingly amended..
2 The Union also requested oral argument . As the record , exceptions , and briefs ade-
quately present the issues and positions of. the parties, the request is hereby denied.
122 NLRB No. 39.