Goodyear Tire & Rubber Co.Download PDFNational Labor Relations Board - Board DecisionsMar 20, 1968170 N.L.R.B. 539 (N.L.R.B. 1968) Copy Citation GOODYEAR TIRE & RUBBER CO. 539 Goodyear Tire & Rubber Company and United Rubber, Cork, Linoleum and Plastic Workers of America, AFL-CIO. Case 8-CA-4584 TRIAL EXAMINER'S DECISION STATEMENT OF THE CASE March 20, 1968 DECISION AND ORDER BY MEMBERS FANNING, JENKINS, AND ZAGORIA On November 27, 1967, Trial Examiner Leo F. Lightner issued his Decision in the above-entitled proceeding, finding that the Respondent had en- gaged in certain unfair labor practices and recom- mending that it cease and desist therefrom and take certain affirmative action, as set forth in the at- tached Trial Examiner's Decision. Thereafter, the Respondent filed exceptions and a supporting brief. Pursuant to the provisions of Section 3(b) of the National Labor Relations Act, as amended, the Na- tional Labor Relations Board has delegated its powers in connection with this case to a three- member panel. The Board has reviewed the rulings of the Trial Examiiner made at the hearing and finds that no prejudicial error was committed. The rulings are hereby affirmed. The Board has considered the Trial Examiner's Decision, the Respondent's excep- tions and supporting brief, and the entire record in the case, and hereby adopts the findings,' conclu- sions,' and recommendations of the Trial Examiner. ORDER Pursuant to Section 10(c) of the National Labor Relations Act, as amended, the National Labor Relations Board adopts as its Order the Recom- mended Order of the Trial Examiner and hereby orders that the Respondent, The Goodyear Tire & Rubber Company, Akron, Ohio, its officers, agents, successors, and assigns, shall take the action set forth in the Trial Examiner's Recommended Order. LEO F. LIGHTNER, Trial Examiner: This proceed- ing was heard before me in Akron, Ohio, on August 15 and 16, 1967, on the complaint of General Counsel, as amended, and the answer, as amended, of The Goodyear Tire & Rubber Company, herein called the Respondent.' The complaint alleges violations of Sections 8(a)(3) and (1) and 2(6) and (7) of the Labor Management Relations Act, 1947, as amended, 61 Stat. 136, herein called the Act. The parties waived oral argument and briefs filed by the General Counsel and Respondent have been carefully considered. Upon the entire record, and from my observation of the witnesses, I make the following: FINDINGS AND CONCLUSIONS 1. THE BUSINESS OF THE RESPONDENT Respondent is an Ohio corporation and maintains its principal offices in the city of Akron, Ohio. Respondent operates plants in numerous States of the United States, including plants located in Akron, Ohio, and is engaged in the manufacture and sale of various rubber products. Annually, a representative period, in the course and conduct of its business operations, Respondent ships products valued in excess of $50,000 directly to points out- side the State of Ohio. The complaint alleges, the answer admits, and I find, Respondent is, and at all times material has been, an employer engaged in commerce within the meaning of Section 2(6) and (7) of the Act. II. THE LABOR ORGANIZATION INVOLVED United Rubber, Cork, Linoleum and Plastic Wor- kers of America, AFL-CIO, herein called the Union , is a labor organization within the meaning of Section 2(5) of the Act. III. THE ALLEGED UNFAIR LABOR PRACTICES Issues ' These findings and conclusions are based, in part, upon credibility determinations of the Trial Examiner to which the Respondent has ex- cepted After a careful review of the record, we conclude that the Trial Ex- aminer's credibility findings are not contrary to the clear preponderance of all relevant evidence Accordingly, we find no basis for disturbing those findings Standard Dry Wall Products, 91 NLRB 544, enfd 188 F 2d 362 (CA 3) - ' We find it unnecessary to decide whether Respondent violated Section 8(a)(3) as well as 8(a)(1), inasmuch as the remedy for the violation ofSec- tion 8(a)(3) would be the same as for the violation of Section 8(a)(I) Ac- cordingly, we do not adopt the Trial Examiner's comments as to an 8(a)(3) violation The principal issues raised by the pleadings and litigated at the hearing are whether the Respon- dent : ( 1) as more fully set forth in the complaint, engaged in activity in contravention of the provi- sions of Section 8(a)(1) of the Act , by interfering with, restraining , or coercing its employees in the exercise of rights guaranteed in Section 7 of the Act, by ( a) instituting wage increases , on or about ' A charge was filed on April 27, 1967, and an amended charge was-filed on June 9 , 1967 A complaint was issued on June 9, 1967, and amended at the opening of the hearing herein 170 NLRB No. 79 540 DECISIONS OF NATIONAL LABOR RELATIONS BOARD March 16, 1967,2 and again on a date alleged to have been between August 1 and August 10, and instituting a uniform allowance, in an attempt to hinder, interfere with, and forestall the efforts of the beneficiary employees, employed as nurses at its Akron, Ohio, plants to engage in protected or concerted activities, or (b) the conduct of Respon- dent's agent and supervisor, Dr. C. A. Johnson, in- terrogating employees with respect to their union. activities and sympathies, threatening economic reprisals should they persist in said activities, or promising economic benefits should they refrain from such activities, on approximately March 30, April 1, April 14, and May 12, or (c) Respondent's agent and supervisor, Helen T. Redman, superin- tendent of nurses, interrogating employees with respect to their union sympathies and activities, on approximately March 20, or (d) Dr. C. A. Johnson, on approximately April 16, in a meeting with the employee nurses announcing that Respondent had adopted a plan providing for wage increases in May, June, and the fall, but that said plan was abandoned and the wage increases would be withheld by reason of the employees interest in and activity on behalf of the Union, or (2) engaged in activity in contravention of the provisions of Sec- tion 8(a)(3) and (1), as more fully set forth in the complaint, by maintaining in force and effect a noncontributory retirement plan, a retirement an- nuity plan, and a noncontributory group insurance plan, including group life and accidental death and dismemberment insurance for salaried employees which restricted eligibility to employees who "are not represented by a collective bargaining represen- tative." Respondent does not dispute the existence of the enumerated plans or the existence of the restrictive eligibility language, but denies the com- mission of any unfair labor practice. Supervisory Personnel The complaint alleges, the answer admits, and I find, that Dr. C. A. Johnson, medical director, and Helen T. Redman, superintendent of nurses, are each supervisors within the meaning of Section 2(1 1) of the Act, and agents of Respondent. Background Respondent employs approximately 30 nurses in some 6 hospitals , which it maintains at its various plants, all of which are located in the Akron, Ohio, area. These are plant hospitals. Some of these nurses rotate between the plant hospitals ; others do not. While the Union , Charging Party herein, represents a number of Respondent 's production and maintenance units, that unit at the Goodyear Aerospace plant is represented by UAW.' R All of the events herein occurred in 1967, with the exception of certain events in December 1966, the latter being so noted infra 8 International Union, United Automobile, Aerospace and Agricultural In the latter part of January 1967 an unspecified number of nurses received authorization cards, through the mail, from UAW, and an unspecified number executed and returned said cards. Jean Margaret Gray, one of those who signed an authorization card, related that she was a member of the organizing committee. Thereafter, on an un- specified date in April, the nurses substituted the Union herein as their authorized representative. Gray identified a Mrs. Rader as the first nurse to sign an authorization card, and related that Rader exhibited the letter from the Union to Superinten- dent of Nurses Redman, advising Redman that Rader had returned her card to the Union. This event was near the end of January.' On March 21, the UAW advised Respondent by letter that it was engaged in an organizing effort, on behalf of the nurses, and, inter alia, identifying members of an organizing committee. The letter was received on March 23. Prior to any organizational activity and, accord- ing to Dr. Johnson, without any request having been communicated to him by any of the nurses, he initiated a canvas of the nurses to ascertain their desires relative to a uniform allowance. The past practice had been that Respondent would provide laundering which, however, was limited to cotton uniforms. An unspecified number of nurses were no longer using cotton uniforms, but had substituted jersey, nylon, or rayon. While only cotton uniforms were laundered, there was no requirement that only cotton uniforms could be worn. In December 1966, Dr. Johnson distributed a questionnaire in which the nurses were requested to indicate which of three alternatives they desired: (I) Respondent would continue providing laundry service; (2) (Respondent would) arrange a rental system; or (3) the establishment of an allowance to cover the cost of uniforms. The assertion of Johnson that the majority indicated a choice for a uniform allowance is undisputed. Gray related that the nurses were subsequently notified as to how many had voted for a uniform allowance and how many against it, and this information was supplied in December 1966. Johnson acknowledged that there had been no indi- cation of any amount being involved, and it is reasonable to infer that no effort was made, at that time, to ascertain an approximation of the average annual expenditure of each nurse for this purpose. Interference, Restraint, and Coercion With a single exception, in which Superintendent of Nurses Redman was involved, all of the allega- tions of the complaint and evidence relative to con- duct alleged to have been in derogation of Section 8(a)(1) of the Act, exclusive of retirement, in- Implement Workers of America , AFL-CIO ' Redman did not appear as a witness, and no explanation appears in the record relative to her failure to appear GOODYEAR TIRE & RUBBER CO. surance, and other plans, considered infra, is at- tributed to Dr. Johnson. Helen T. Redman It is alleged that on or about March 20 Redman engaged in unlawful interrogation. Nina McBride, who has been employed by Respondent as a nurse for more than 10 years, credibly related that she had attended a union meeting at Motor Inn, on March 19, and had a con- versation with Redman the following morning at plant 1, about 7 a.m. Redman asked McBride if she had attended the meeting the prior day and was ad- vised, by McBride, in the affirmative. Redman then inquired if they "had a good turnout," and was ad- vised in the affirmative. Redman then advised Mc- Bride, "I think you girls are making a mistake:" McBride responded that maybe they were making a mistake, but they had tried alone to do something and had not succeeded and felt they needed some help from the outside as the only thing left for them to do. Redman then asserted, "I believe you girls should have tried your own professional or- ganization first."' By way of explanation, McBride asserted that she had had conversations with Dr. Johnson, on more than one occasion in the latter part of 1966, during which she called his attention to the fact that the nurses in the Akron hospitals had obtained pay raises, and during which she re- lated a request, on behalf of herself and other nur- ses, to Dr. Johnson for the consideration of wage raises. Dr. Johnson The evidence establishes that Dr. Johnson held a series of conferences, with individual nurses, com- mencing in late March and continuing into early April, held a meeting with a number of the nurses, at the request of the nurses, on Sunday, April 16, had other individual conferences, and made state- ments relative to wage raises, the abandonment of a "pay plan," and, in August, the granting of wage in- creases and the establishment of a uniform al- lowance. These events are so interwoven that separation would be needlessly cumbersome. Ac- cordingly, an effort is made to set them forth chronologically. The testimony of Dr. Johnson, even if the testimony of General Counsel's witnesse86 was disregarded, permits a reasonable inference that he held individual conferences with each of Respon- 5 I have noted, supra, that Redman did not appear as a witness The testimony of McBride , whose demeanor I find impressive, stands unchal- lenged ' Five nurses, with the indicated varied periods of employment by Respondent, appeared on behalf of General Counsel They were Jean Mar- garet Gray, 11-1/2 years, Nina McBride, 10-1/2 years, Carolyn Marie Fahrenback, 5 years, Ruth Marie Ebenhart, 2-1/2 years, and Barbara Ann Carr, 2 years ' It is undisputed that a raise of $25 a month was placed into effect as of 541 dent's nurses, either in late March or April, to ascertain their attitudes and views relative to the subject matter next set forth. Fahrenback credibly related a conversation she had with Dr. Johnson, at plant I in the latter part of March. Johnson opened the conversation by advis- ing Fahrenback that he was calling each of the nurses in, individually, since he knew they had "com- plaints" that he wanted to discuss with each of them. He inquired as to whether Fahrenback was getting along with the other nurses, and was advised in the affirmative. He then inquired if she was satisfied with her present earnings , and Fahrenback responded that she was managing with what she was getting but would like more and could use more. Johnson then related that she had received a raise in February,' and that Respondent had plans to give periodic raises during 1967, in April and an across-the-board raise in June,' and a further raise, probably in September, as a result of which some of the girls would receive a total of as much as $90 a month increase in wages. Johnson then went on to explain, however, "with things as they were they would have to drop these plans right now." Fahrenback related that they discussed the uniform allowance. Johnson advised her that he had been considering establishing a uniform allowance but had not been able to decide on how much the al- lowance should be and that he would take this into consideration as soon as possible. Johnson then inquired, according to Fahrenback, "if my benefits meant anything to me." She explained they did as she was self-supporting. Johnson then advised her, "Well, you know that if this goes through you're going to have to negotiate for your benefits." Fahrenback explained that the discussion of benefits related to her participation in the pension, retirement, and insurance plans. Fahrenback acknowledged that Johnson did not specify what he was referring to when he made the statement, "If this goes through," however, I find it reasonable to infer that the only matter pending disposition, to which he could have referred, was the organizing effort. McBride placed the time of her conversation with Johnson as Friday, March 31, about 2:15 p.m. in Johnson's office. Johnson advised McBride that he was talking to all of the nurses individually, and she responded that she was aware of this fact. John- son then advised McBride that he desired a talk over the "problems" that the girls might have in relation to their work. Johnson then inquired where McBride's husband was employed and if he be- February 15, but not included in the paychecks until the paycheck of March 15. s It is undisputed that historically, after Respondent completed its negotiations with the production and maintenance units , and it may be in- ferred that these relate in large part to units represented by the Union herein, the nurses, as well as other nonrepresented employees, were given some equivalent raises to maintain a degree of comparability These annual increases are thus distinguishable , in terms of past practice , from the other raises granted to the nurses herein, as reflected in this record 542 DECISIONS OF NATIONAL LABOR RELATIONS BOARD longed to a union at his place of employment. Mc- Bride supplied the requested information and ad- vised that her husband did belong to a union. John- son then observed that McBride's husband probably had benefits which would also cover Mc- Bride, and she verified the accuracy of this assump- tion. Johnson then related, "then we won't go into the discussion of benefits because perhaps you are not interested in them." McBride confirmed the ac- curacy of this assumption. Johnson next inquired as to how McBride learned of the February 15 raise, and McBride responded that Mrs. Redman had so advised her.-Johnson then related that the Com- pany had a plan to raise the nurses' salaries with the first stage being the February raise and further raises were to be granted in April, June, and Au- gust .9 McBride then inquired as to why they were not advised of this plan for raises, prior to this time, and Johnson responded that it was not company policy to inform employees on matters of that type. McBride then advised Johnson, "In this circum- stances that was unfortunate because had the girls known that we were going to receive these wage in- creases that this union activity would never have begun." Johnson responded that he realized they had had poor communications in his department, and that this would be taken care of in the future. Johnson also advised McBride, "Of course, at this time-the raise plan will have to be shelved because to issue the raises at this time would constitute a violation of the National Labor Relations Act." Johnson then asked McBride if she was lacking anything in the way of supplies or had any difficul- ties or personality problems with any of the other nurses. McBride acknowledged that, during the conversation, she mentioned that after the first meeting she was a member of the organizing com- mittee. Johnson's response was that he was sur- prised to see her name on the organizing list.1° Ebenhart, while working at night in early April, possibly the 4th or 5th, was requested by Dr. John- son to come to his office after she completed her duty. Ebenhart credibly related that Johnson ad- vised her that he was talking to all of the nurses in- dividually about the things that were making them unhappy, Johnson advised her that the pay increase in February was the first of the pay increase pro- gram, that a second raise was scheduled for April, another in July, and another in the fall; however, they could not go ahead with the plan.tt Ebenhart asserted that she asked Johnson what the nurses' position would be if the union activity was dropped, and Johnson responded if the union activities were dropped "that this would have to be reconsidered." Johnson inquired as to how much Ebenhart spent on uniforms, advised her that there had been no 0 I find the August date recited is a case of bad memory and that more likely either the words September or fall, as the evidence from other wit- nesses indicates, were probably used 10 I find of no consequence McBride's recitation that in the latter part of 1966 she inquired of Johnson if there was a possibility of obtaining raises decision as to what the amount of the uniform al- lowance should be and that it was impossible to go ahead with the uniform allowance at that time. Johnson also inquired if Ebenhart believed that the organizing committee would be willing to meet with him as a group, to which she responded, that she did not know, "but doubted it very much." Johnson also advised Ebenhart that he realized that a lot of the discontent was apparently due to poor commu- nications, that he was sorry about this, and would try to do better in the future. Johnson advised Ebenhart that if the nurses went ahead with the union organization that they would have to renegotiate all of their fringe benefits. Johnson inquired why the nurses had not come to him rela- tive to pay increases. Ebenhart asserted she responded that the reason she had not come to him was that it seemed useless, that the girls, in- ferentially those who had talked to Johnson, had re- ported previously that he said there was no money in the budget, and that she felt if this was the only story they would get there was no sense wasting her time to talk about the same thing. Ebenhart as- serted Johnson made no response. Johnson also inquired as to the nature of complaints about work- ing conditions. In response, Ebenhart advised him that one complaint was in relation to the vacation schedule, another problem was scheduling of work hours, which were not posted sufficiently in ad- vance, and there was also a complaint about park- ing facilities at plant B. Ebenhart asserted that, commencing in May, the timesheets scheduling work were posted 2 weeks in advance, as distin- guished from the Thursday of the week preceding the work schedule, and, in July, the nurses who parked at plant B were advised if the chain was up they could go to the gate house and have the guards remove the chain for them, and arrangements were made for the parking space.,Ebenhart credibly re- lated that she had discussed the timesheet situation with Dr. Johnson at least a year previously with no effective action being taken in the interim. _ Gray placed the date of her conversation with Dr. Johnson as being approximately April 10, in the office of Dr. Kessel at the Aerospace Plant Hospital. Gray credibly related that Johnson ad- vised her that there had been a master plan "formu- lated in February to grant raises in April, June, and September," but, Johnson explained, "now, we can't go through with this." Johnson also inquired as to how many uniforms and how many-pairs of shoes Gray purchased in a year and requested a rough estimate on what she spent a year for these items, asserting he had planned to give the nurses a uniform allowance. Gray also related that in his 3 years as medical director, the series of interviews for the nurses and was subsequently advised by Johnson that there was not enough money in the budget. 11 Ebenhart asserted that Johnson did not state that the reason for Respondent's inability to effectuate the pay plan was related to the union activity GOODYEAR TIRE & RUBBER CO. which Johnson held in March and April were the only time he conducted such a series of interviews with the nurses. Carr credibly related the events which occurred at a meeting on company premises at plant 1 on April 16, at which Dr. Johnson and approximately 19 or 20 nurses were present. It is undisputed that the nurses requested this meeting. Carr related that Johnson mentioned the fact that he had held in- dividual conversations or conferences inferentially with all of the nurses and regretted the apparent lack of communication between himself and the nurses. Johnson then advised the group that the pay raise which they had received in March, effective as of February 15, was just the beginning of a pay plan that the Company had proposed; however, since nothing had been said about it previously, they thought it would be an unfair labor practice if they went ahead with the pay plan which contemplated addi,tonal raises in April, July, and in the fall. Carr asserted that Johnson explained that since the union activity had started and there had been no announcement of the contemplated pay plan, the Company felt they could not proceed with the pay plan. During a question-and-answer session Carr as- serted that one of the nurses advised Johnson that she had been at a union meeting, that she had been advised there by a union representative that the nurses would not lose any of their benefits; how- ever, in Respondent's booklets, which each salaried employee received when hired, it stated that these benefits were for "non-bargaining unit personnel," and she wondered if the nurses would lose these benefits by becoming bargaining unit personnel. Carr credibly related that Johnson responded that he had talked to Plant Manager Ball, and he (John- son) was under the impression that the nurses would have to go back to scratch and renegotiate all their benefits, that these different plans, i.e., pension plan , life insurance, etc., were with private insurance companies , and that they would have to negotiate with the private companies. One of the nurses inquired whether the Company would go ahead with the pay plan if the union activity were to cease. Carr related that Johnson asserted that if the union activity was resolved or ceased he saw no reason why the Company would not go ahead with the pay plan. Johnson, acknowledging that he was not 'very clear" about a lot of things, advised that if the nurses wished questions clearly defined that they could call Mr. Ball, or one of the company lawyers, and have a meeting with them to discuss some of these points. Carr credibly related that she had a conversation with Dr. Johnson in his office on May 12 about 4 p.m. Carr related that Johnson advised her that since she had been at the April 16 meeting there was not too much more to discuss, since she had been at the meeting and most of the matters were 12 I find of no consequence Johnson's explanation that this information was requested by Respondent's tax department, from whom Johnson had 543 discussed at that time. Johnson then asked Carr, "whether I felt that the nurses needed a union." Carr responded that she thought they did. Johnson then advised that he was sorry that the nurses were losing out on the pay raise, that with the union ac- tivity the Company could not go on with the pay plan that they had planned on or were trying to start. Johnson then asserted that he had not heard too much of the union activity recently and won- dered if the Union had filed a petition for an elec- tion. Carr responded that she thought it had been filed. Johnson then asked Carr how she felt the union activity had affected the nurses. Carr responded that she felt that the majority of the nur- ses had been brought closer together "in their feel- ing of togetherness and working together for one thing." Dr. Johnson's version of these events, which I find is confused as to some aspects, and self-con- tradictory as to others, is not at substantial vari- ance, in most respects, with the recitations of General Counsel's witnesses, as related. The varia- tions, as well as the corroborations, are next con- sidered. Johnson asserted that after the December poll relative to uniforms, he did not individually or col- lectively discuss with the nurses a uniform al- lowance. He asserted that, however, in March and April as he talked to each of the nurses he did inquire as to the amount each nurse spent for uniforms and shoes.12 Johnson asserted that at the meeting of April 16 the questions, which he asserted he tried to answer to the best of his ability on the basis of the informa- tion he had, treated mainly with fringe benefits. He then asserted that his information was "to the effect that it was my understanding that these things were all subject to negotiations." Johnson further ex- plained that he understood there were some dif- ferences in the insurance plans for those who were members of bargaining units as distinguished from those who were unrepresented salaried employees. Johnson acknowledged that he might have stated that these benefits would have to be negotiated between the employees and the private insurance companies. Johnson acknowledged that at the meeting he did review "the wage adjustment plans we had at that time," that he advised the nurses what the plan was, that it called for increases in February, April, a general, increase in June, and a further adjustment in September. He described the "general increase" as the increase based on the result of contract negotiations for the represented employees on the basis of past practice. Johnson's explanation of the purported "pay plan" was confused and unconvincing. Johnson, who acknowledged he had been employed at Goodyear for 13 years and medical director for 3 years, acknowledged he had no prior dealing with requested information as the best method to handle the matter in relation to its income tax implications 544 DECISIONS OF NATIONAL LABOR RELATIONS BOARD wage arrangements and had never previously been engaged in any discussion with administrative en- gineering to set up a wage program similar to the one he asserted had been approved, or at least represented to the nurses that a plan had been ap- proved. Initially, Johnson asserted that in the latter part of January he received a call from administra- tive engineering indicating that they had been ad- vised of some additional increases in the nurses salaries for local hospitals, following which he had discussions with administrative engineering person- nel to determine "how we could go about it and to determine the amounts." Subsequently Johnson as- serted that he had checked with administrative en- gineering and determined, through them, that the Akron city nurses had received a pay raise. Johnson asserted this pay raise was in the amount of $50 a month. Johnson described administrative engineer- ing as having, among other functions, a section which keeps tab on salaries and wage levels, and as- serted that there were some discussions with ad- ministrative engineering as to the amount and the procedure. Johnson asserted that he and adminis- trative engineering determined what the ap- propriate amount should be and what would be recommended. Later, Johnson asserted that ad- ministrative engineering does not approve raises, "it is simply worked out with them." Johnson then explained that it was necessary for him to fill out a card proposing the pay raise and have it approved by Nelson Ball, vice president of industrial rela- tions. In February, Ball did approve the February 15 increase in the amount of $25 per month. John- son acknowledged that he was not seeking approval at that time of anything other than the February in- crease, but "in his own mind" was contemplating additional increases later. In late March, while Mr. Ball was out of town, Johnson prepared a similar card for an approval of a further increase of $25 a month, to be effective April 15, and submitted it to Mr. Dupre, executive vice president, the superior of Mr. Ball, who refused to approve the increase. Johnson acknowledged the first time he mentioned his plan, for three or four increases to the nurses, was when he called them in to talk to them in- dividually, commencing in March, and that he did discuss it at the April 16 meeting. Asked if he had stated to the nurses in March and April whether or not these contemplated subsequent pay raises would be granted or held in abeyance, Johnson first responded that, in view of the fact that Mr. Dupre had not signed the cards, "we would not be able to proceed with the granting of the April increase." He then acknowledged that in the process of trying to get this pay increase approved, he was advised "Carr related that when she was first employed she was advised she would receive a wage increase each 6 months, for the first 18 months "Somewhat at variance with what has been set forth, Johnson acknowledged the increases granted the Akron city hospital nurses in January or early February amounted to $50 a month increase Johnson as- serted he did discuss the amount of increase proposed in his "pay plan" and that there was a possibility that they could be charged with an unfair labor practice if they proceeded and he did state this to the nurses as a reason for holding up the pay raises. Johnson did not recall, and did not deny, advising the nurses that if they wanted more definite infor- mation about benefits that he would arrange a meeting with Mr. Ball or company attorneys. John- son acknowledged having a discussion with Carr, but did not recall asking her if she thought the nurses needed a union or if the Union had filed a petition for an election. Johnson did not deny the other comments attributed to him by General Counsel's witnesses. It is undisputed that the nurses who testified herein, Carr, Gray, Ebenhart, McBride, and Fahrenback, each received a telephone call from, or had a personal conversation with, Dr. Johnson on various dates between August 1 and August 7, advising them that they were receiving an addi- tional increase of $51 a month, of which $26 was attributable to a "general increase" resulting from the outcome of the union negotiations, and Ebenhart related that Johnson advised her that the other $25 resulted from a decision "to go ahead with the wage increase program." Several of the nurses asserted they were not due for a merit in- crease or a normal periodic increase, the latter ap- plying inferentially during the first 18 months of employment.13 Each of these nurses also received a letter dated August 1 advising of the institution of a uniform allowance in the amount of $100 a year payable quarterly, commencing retroactively to July 1, 1967. Fahrenback related that the previous wage increases had been announced by Superinten- dent of Nurses Redman , not Dr . Johnson. Johnson asserted the additional $25 wage in- crease, effective July 16, was, in fact, the increase which he had recommeaded he placed in effect in April. Johnson, who testified on August 16, as- serted that he had not dropped the proposed plan for an increase in September, but asserted that he had not discussed it with Mr . Ball.14 Contentions of the Parties and Concluding Findings I have found, supra, from testimony which I deem credible and which stands substantially undisputed, that Supervisor of Nurses Redman, on March 20, interrogated McBride relative to her participation, and the participation of others, in a union meeting, and that Johnson held a series of conferences with individual nurses in March and April and one on May 12, as well as a meeting with a group of nurses on April 16. asserted that the amount discussed was $50, cover,ug the February and April proposed increases Asked if the June "general increase" and Sep- tember increases were contemplated as being in $25 increments, Johnson asserted they had no knowledge of what the amount of the "general in- crease" would be, and that the contemplated September increase was "Just to be additional minor adjustments based on service " GOODYEAR TIRE & RUBBER CO. 545 In these meetings, Johnson sought to identify the nature of "complaints" or "problems" confronting the nurses, and subsequently modified the procedure relative to work scheduling and made provision for adequate parking space, which were among the items discussed. In addition, Johnson, concededly for the first time, announced that the $25 a month increase, which the nurses had received on March 15, effective February 15, was the first step in a "pay plan" which contemplated further raises, amounts unspecified, in April, an across-the-board raise in June, and a further raise in September, with a contemplated total of as much as $90 a month. Johnson then announced that "with things as they were they would have to drop these plans right now," also, "of course, at this time, the raise plan will have to be shelved because to issue the raises at this time would constitute a violation of the National Labor Relations Act."i5 Johnson advised Ebenhart, in answer to her question, that if'the union activities were dropped, "that this [pay plan] would have to be recon- sidered." At the April 16 meeting Johnson advised the group, in answer to a similar question, that if the union activity ceased he saw no reason why the Company would not go ahead with the pay plan. While a pay raise was granted, on approximately August 1 effective July 16, it appears undisputed that there had been neither consideration nor determination as to the timing or amount of any further increase, and there is a complete absence of any evidence of the essential approval of Ball for such an increment, essential to round out the pur- ported "plan." ' It is essential to consider one other aspect of these pay raises. Respondent, in its brief, would cast the formulation of the "pay plan" by Dr. John- son, to events predating the organizing efforts herein, and Respondent's knowledge thereof, as justification for Respondent's subsequent conduct and to avoid the allegation of unlawfulness. The premise contains inaccuracies and, accordingly, I find it without merit. Respondent urges that, admit- tedly, some of the nurses requested consideration of a pa y' increase in December based on the as- serted ground that nurses in other hospitals in the Akron area had received increases. Dr. Johnson's own succinct answer to that was that one or two nurses- "asked about merit increases " and he ad- vised them that "there was no merit budget availa- ble." Johnson placed the time of the first advice to him of the Akron nurses increases, resulting from a call from the administrative engineering depart- ment , as being in the latter part of January. Later, Johnson asserted that the raises received by the other Akron nurses as being "it was the end of January and it also extended to the first of Februa- ry, the middle of February." Since I have found, supra, that Superintendent of Nurses Redman was advised of the organizing activity of the UAW on approximately January 28 and since Dr. Johnson's purported "pay plan" was assertedly discussed by him with administrative engineering after their ad- vice to him, it follows that these conferences, and the purported development of the plan, including the granting of the February increase, were all-sub- sequent to Respondent's knowledge of the union activity of these nurses. I find accordingly. While it is undisputed, and I have found, that Respondent historically granted a general increase to nonrepresented salaried employees to maintain comparability with represented production and maintenance employees, and the $26 per month in- crease of July 16, herein, clearly fell into that category, there is no contention of any past prac- tice of maintaining comparability, in the matter- of pay raises, with nurses employed in other hospitals in the Akron area. The facts-herein establish the contrary. While it is asserted that the other Akron nurses received raises in late January' and early February, in a total amount of $50 a month, the nurses herein received $25 effective February 16, $51 effective July 16, and a $100 a year uniform allowance, with a further "merit increase" in con- templation for September. - Additionally, I have found supra, that in March, Johnson, after inquiring, "if my benefits meant anything to me," advised Fahrenback, "well, you know that if this goes through you are going to have to negotiate for your benefits." Similarly, Johnson inquired of McBride, if McBride's husband's mem- bership in a union provided benefits for McBride, as a result of which, Johnson observed, "then we won't go into the discussion of benefits because perhaps you are not interested in them." Johnson advised Ebenhart that if the nurses went ahead with 15 It is,obvious, and I find from the testimony of Dr Johnson, that the as- serted pay plan was not, in fact , ever formalized or established with the es- sential approval of Ball. Unquestionably, the specific amounts contem- plated were nebulous, - While Johnson asserted that he had discussed the matter with adminis- trative engineering, he acknowledged that'the approval of administrative engineering was not an essential step What was essential was the approsal of Ball It was Ball who approved the single increase in February In Ball's absence his superior, Dupre, disapproved the proposed April increase It was Ball who advised Johnson to go ahead with the July increases of $26 and $25 . Johnson made no representation that he had either requested or obtained approval fora contemplated September or fall increase In fact, Johnson admitted that he had not discussed the amount of the September increase with Ball Johnson described the September portion of the "plan" as, "these were just the additional minor adjustments based on service " At another point, Johnson described the September increase as, "The Sep- tember increase would have been based on the amount of money that was available to me in my merit budget." Accordingly, I find if the contem- plated September increase was confined to longevity or merit raises, as stated by Johnson, it follows they were couched in terms other than a general increase. Asked why he did not announce the "pay plan" about March 15 when the first portion of it was distributed, Johnson responded, "there had not been any final approval on it Ordinarily, the procedure is when you get final approval then you proceed to advise your nurses .." Johnson was self-contradictory in then asserting that he could not get approval "on all four increments at one blow," then asserting that Ball had approved the "plan," but each step had to be approved I am unable to find credible evidence of an approved "plan," or the identity of its component parts 350-999 0 - 71 - 36 546 DECISIONS OF NATIONAL LABOR RELATIONS BOARD the union organization that they would have to renegotiate all of their fringe benefits. Johnson similarly advised the nurses at the April 16 meeting that it was his understanding, as a result of his con- versation with Plant Manager Ball, that if the nurses organized they would have to go back to scratch and renegotiate all of their benefits under the pen- sion, retirement, life insurance, etc., plans with the private insurance companies. I find these state- ments constitute threats and were coercive. I have also found that Johnson, in December 1966, -conducted a survey relative to the nurses desires vis-a-vis laundry service or uniform al- lowance, and ascertained that a majority indicated a preference for an allowance, as distinguished from the existing provision for laundry services, and announced the result of the canvass. In his inter- views with individual nurses in March and April, Johnson sought and obtained further information relative to the annual expenditure of each nurse for uniforms and shoes. At no time during these inter- views did Johnson make any representation relative to either the approval of, or amount of, any con- templated allowance. In fact, it is undisputed. that the announcement of the uniform allowance, con- tained in the letters of August 1, retroactive to July 1, came as a complete surprise to the nurses. General Counsel, in his brief, asserts that the in- terrogation, coupled with threats revealed by the credible evidence herein, was violative of the proscriptions of Section 8(a)(1). Respondent's brief does not treat with this problem. While Section 8(c) permits the expression of views, argument, or opinion, it contains the injunc- tion that they shall not contain a threat of reprisal or promise of benefit. In the Blue Flash case,16 the Board held that in- terrogation of an employee as to union member- ship, activities, and desires is not per se unlawful The Board, in that case, found legitimate reason for inquiry which was conducted with appropriate safeguards. The Board held that the test is whether, under all the circumstances, interrogation reasonably tends to restrain or interfere with the employees in the exercise of rights guaranteed by the Act. The Board further elaborated its position in its decision in the Johnnie's Poultry case,17 in which the Board stated that the purposes which the Board and courts have held legitimate (permitting inter- rogation) are of two types: Verification of a union's claimed majority status to determine whether recognition should be extended-and the investiga- tion of facts concerning issues raised in a complaint where such interrogation is necessary in preparing the employer's defense for the trial of a case. Prior to the Blue Flash case all interrogation was held to be per se unlawful. As stated in the decision in the Johnnie's Poultry case, that holding has been modified to permit legitimate inquiry, where legiti- mate inquiry is essential and proper safeguards are established. Herein, the incidents related- are not isolated but are indicative of the Employer's hostili- ty to union organization. No claim of legitimate purpose for inquiry has been advanced, and Respondent did not dispute the accuracy of much of the recitation of General Counsel's witnesses. Absent requisite safeguards or purpose, I find the interrogation complained of as conducted by Redman and Johnson, coupled with the threats of retaliatory action, including the loss of fringe benefits, voiced by the latter, was coercive and thus constituted interference, restraint, and coercion and, in each instance, was violative of the provi- sions of Section 8(a)(1) of the Act. The complaint, as amended, alleges, and General Counsel urges, that the granting of wage increases on March 16 and in the period of August 1 to Au- gust 10, and the establishment of a uniform al- lowance, announced August 1, were an attempt to hinder, interfere with, and forestall the efforts of the nurses to engage in union activities, and were violative of the provisions of Section 8(a)(1). The facts, which I have found supra, relative to the amount and timing of these increases and the establishment of the uniform allowance, are un- disputed. Respondent urges that the uniform allowance had been planned prior to any notice to the Respondent of union organizational efforts, and that its implementation was. delayed by reason of certain tax apprehensions. It is true that Dr. John- son ascertained the attitude of the nurses relative to the matter of a uniform allowance in December 1966 and advised them of the result of the canvass prior to the commencement of organizational ef- forts. However, Johnson admitted and the record establishes that no commitment was made by Respondent relative to a uniform allowance at any time prior to the announcement of it, by the letters distributed under date of August 1. As late as late March and early April, when Johnson conducted his individual interviews, he was still seeking to ascertain information from which he could project an approximation of individual annual costs of uniforms and shoes. It is patent that no determina- tion had been made up to that time relative to the appropriate amount of such allowance. While it is obscure in this record as to when the determination to grant an allowance was actually made, I find it reasonable to infer that such a determination would not have been made, or finalized, prior to the acquisition of the information essential to deter- mine the amount involved. It is undisputed that no announcement of the allowance was made prior to August 1. It is reasonable to infer that final ap- proval, after acquisition of the essential informa- tion, was substantially after rather than before 16 Blue Flash Express, Inc , 109 NLRB 591 11 Johnnie 's Poultry Company, 146 NLRB 770, 775 GOODYEAR TIRE & RUBBER CO. Respondent's knowledge of the organizing activity herein. ][ so find. The Supreme Court has held18 that the Act prohibits not only intrusive threats and promises, but also conduct immediately favorable to em- ployees which is undertaken with the express pur- pose of impinging upon their freedom of choice for or against unionization and is reasonably calculated to have that effect. In that case the Court observed, [t]he danger inherent in well-timed increases in benefits is the suggestion of a fist inside the velvet glove. Employees are not likely to miss the inference that the source of benefits now conferred is also the source from which future benefits must flow and which may dry up if it is not obliged. The danger may be diminished if, as in this case, the benefits are conferred per- manently and unconditionally. But the absence of conditions or threats pertaining to the par- ticular benefits conferred would be of con- trolling significance only if it could be presumed that no question of additional benefits or renegotiation of existing benefits would arise in the future; and, of course, no such presumption is tenable. In the same case19 the Supreme Court held: Other unlawful conduct may often be an indi- cation of the motive behind a grant of benefits while an election is pending, and to that extent it is relevant to the legality of the grant; but when as here the motive is otherwise established, an employer-is not free to violate Section 8(a)(1) by conferring benefits simply because it refrains from other, more obvious violations.... The beneficence of an employer is likely to be ephemeral if prompted by a threat of unionization which is subsequently removed. Insulating the right of collective or- ganization from calculated good will of this sort deprives employees of little that has lasting value. It is well settled that the test of interference, restraint, and coercion under Section 8(a)(1) of the Act does not turn on the employer's motive or whether the coercion succeeded or failed. The test is whether the employer engaged in conduct which, it may reasonably be said, tends to interfere with the free exercise of employee rights under the Act. American Freightway Co., Inc., 124 NLRB 146. Interference is no less interference because it is accomplished through allurements rather than coercion. Western Cartridge Company v. N.L.R.B., 134 F.2d 240, 244 (C.A. 7). Accordingly, for the reasons stated, I find that the granting of the wage increase, announced on approximately March 15, effective February 16, i"NLRB v. Exchange Parts Co , 375 U S 405, 409 19Id at 410 20 Bonu it Teller, Inc v N.L R B , 197 F 2d 640 (C A 2), cert denied 345 U S. 905, denying enforcement in pertinent part of 96 NLRB 608 Si There is a clear factual distinction between the circumstances sur- 547 and the granting of the wage increases announced in August, effective July 16, to the extent it ex- ceeded the normal offsetting comparability with the increase obtained by the production maintenance unit, and the establishment and announcement of the uniform allowance, by letter of August 1, retroactive to July 1, were, in each instance, con- duct constituting interference, restraint, and coer- cion and thus violative of the provisions of Section 8(a)(I) of the Act. Next considered are the allegations that the an- nouncement, by Dr. Johnson at the meeting of April 16 that Respondent had adopted a plan for wage increases, that said plan was abandoned, and that said increases would be withheld because of the union activities of the nurses, was violative of the Act. Respondent in its brief asserts that it would be in- consistent to find that coercive conduct resulted both from the delay of the April increase and the granting of it, effective July 16. Respondent urges that, "it cannot be coercive both to grant a wage in- crease in March and not to grant one in April, ab- sent any showing that the nurses' attitudes toward the Union had so changed in the interim that the doing of two diametrically opposed things would have the same effect." Respondent is not only inac- curate, in asserting the pay plan was devised prior to Respondent's notice of the organizing activity, as I have found supra, but its contention here has no substance. The success or failure of an effort is not the test by which coercion is determined. American Freightway Co., supra. I find Respondent's reliance on the court deci- sion in the Bonwit Teller case20 is misplaced. Respondent correctly recites that the court, dis- agreeing with the finding of the Board, found that an employer president's advice to employees that they knew wage increases (resulting from semian- nual salary review and recommendations) were waiting for them, but could not be put into effect lest the store be accused of an unfair labor practice, did not by itself constitute an unfair labor practice under Section 8(a)(1).21 General Counsel, in his brief, accurately calls at- tention to the Interstate Smelting case,22 where the Board found the announcement of an intent to grant a wage raise and a simultaneous statement that he could not give a raise, because of the union activity, were threats to cancel the raise to discourage the union activity and a violation. The nurses herein had no knowledge of the pur- ported "pay plan" until advised of it by Dr. John- son, who, at the same time, announced Respondent would not proceed with it, ostensibly because of the possibility of unfair labor practice charges being filed. At the same meeting on April 16 Johnson an- rounding the anouncement in the cited case, as compared to the within case In addition, with all due respect for the court, I am constrained to ad- here to the view of the Board, since I am acting for it See loita Beef Packers, lnc , 144 NLRB 615,616 22 Interstate Smelting & Refining Co , 148 NLRB 219, 221, 227 548 DECISIONS OF NATIONAL LABOR RELATIONS BOARD nounced that if the union activities were dropped that the pay- plan would have to be 'reconsidered. General Counsel correctly urges that if, as the evidence establishes, no employee nurse had heard of the-plan and'if Respondent privately decided to avoid a charge of unlawful conduct by scrapping the plan, then the only purpose ascribable for Dr. Johnson's statement was to advise the nurses they were losing wage increases solely as a result of their union activity. This could be characterized as the "carrot on a stick" approach. I find the statement was coercive and thus violative of Section 8(a)(1) of the Act. The Noncontributory Retirement Plan, Retirement Annuity Plan (Contributory), Group Insurance Plan, including Accidental Death and Dismemberment Insurance The complaint alleges that Respondent maintains a noncontributory retirement plan, a retirement an- nuity (contributory), and a group insurance plan, which includes life and accidental death and dismemberment insurance , each of which is as- serted' to be violative of the provisions of Section 8(a)(3) and (1) of the Act, by reason of the ex- press limitation of participation to "eligible em- ployees" who, by definition, are restricted to those salaried employees who "are not represented by a collective bargaining representative." There is'no dispute relative to the facts set forth under this subsection. Respondent has prepared and caused to be issued to new employees, who potentially qualify under the various described plans at the time of the respective hiring of each, a detailed resume of the nature, purpose, benefits and, in this instance more importantly, the "eligibility" requirements of each of the plans or any subsequent amendments thereto, and said distributions were made and such plans were continued in effect during the 6-month period preceding the filing of the initial charge herein on April 27, 1967, and thereafter. The noncontributory retirement plan, applicable only to employees who retire or whose employment is terminated on or after August 1, 1964, contains,' inter'alia: Article I, Definitions: 4. "Employee," as used herein, shall mean any employee who, at the time of his retire- ment or other termination of employment, is a domestic employee or foreign employee, as herein defined, provided he is not represented 22 During the hearing, the Trial Examiner rejected as exhibits the several booklets, covering 36 more printed pages, reflecting in toto all of the manifold provisions of these various plans, but cautioned the parties to separately submit such portions as were essential, relevant, and material to a resolution of the issue presented. Such booklets are in a rejected exhibit file To the extent that said ruling may be found to have excluded article ll[ eligibility for pensions in its entirety it is hereby modified While article III, subsections 2, 3, and 4, defines eligibility for disability pension, early retirement pension, and deferred vested pension, the key phrase in each subsection is the term "each employee" as reflected in sub- section I by a collective bargaining representative recog- nized by his employer.... Article III, Eligibility for pensions:23 1. Normal Retirement Pension. Each employee who retires from the service of an Employer on or after August 1, 1964, shall be eligible for an immediate pension upon his retirement if such employee has- attained age 65 at the time of his retirement. The retirement annuity plan (contributory), also applicable only to employees who retire or whose employment is terminated on or after August 1, 1964, contains inter alia: Article 1, Definitions: 4. "Employee" as used herein, shall mean a domestic employee or foreign employee, as herein defined. Article III, Eligibility for Participation; Em- ployee Contributions: 1. Eligibility for Participation. Each Em- ployee participating in the Plan on July 31, 1964, is automatically eligible to continue his participation, Each non-participating Em- ployee may become a participant in the Plan on August 1, 1964, or on the first day of any succeeding month, if he then meets all of the following conditions: (c) He is not represented by a collective bargaining representative recognized by the Company or by any subsidiary of the Company by which he is employed 24 The group insurance plan for salaried employees, which includes life, accidental death, and- dismem- berment insurance, provides the following in a "foreword," although not so titled: This booklet describes briefly the essential fea- tures' of a plan of Group Life and Accidental Death & Dismemberment Insurance provided for employees of The Goodear Tire & Rubber Company and its subsidiary' companies as un- derwritten by the Aetna Life Insurance 'Com- pany of Hartford, Connecticut . It-is not to be considered the contract of insurance. The employees covered are salaried employees -not represented by a collective bargaining representative. The booklet carries an issuance date of August 1, 1964. - The 1950 pension plan, covering hourly and salaried employees who are represented by a col- lective-bargaining agent provides, inter alia: Article I, Definitions: 4. "Employee," as used herein, shall mean General Counsel correctly notes that a portion of the preface, as distin- guished from the provisions of the plan, defines "eligible employees" in the same language as the definition set forth - 21 General Counsel also calls attention to a provision contained in the preface to the booklet, which contains both retirement plans, which pro- vides An employee covered by the noncontributory retirement plan is also eligible to participate in the , retirement annunity plan if the employee has completed 6 months of service and his earnings are more than $4,800 a year GOODYEAR TIRE & RUBBER CO. 549 any employee who, at the time of his retire- ment, is an hourly rated employee in the ser- vice of any Employer, and any employee who, at the time of his retirement, is a salaried em- ployee in the service of any Employer and is represented by a collective bargaining representative with whom his Employer has in effect a contract providing for pensions under the Plan. The 1950 pension plan, as amended effective August 1, 1964, contains the-following,-inter alia, in a foreword, after describing "applicable" employees in the terms recited next above as "eligible" em- ployees: It is also applicable to designated hourly rated employees at various locations. The group insurance plan for hourly rated em- ployees, which includes life, accidental death, and dismemberment insurance, provides the following in a "foreword," though not so titled: The employees covered are those represented by a collective bargaining representative with whom the Company has entered into an agree- ment specifying this plan of insurance. Other groups of employees may be covered, under this plan at the election of the Company. The announcement and booklets carry the date of August 1, 1964. The time of origin of the last sen- tence is otherwise obscure. B. N, Colyer has been manager of the pension and group insurance departments for the past 5 years and manager of the pension department since its formation in 1950. Colyer identified the plans set forth, supra, and the relevant provisions of each, and related that the plans complained of are availa- ble to salaried employees who are not represented by a labor organization, wherever they may be em- ployed, and are companywide plans which are cur- rently in effect. Colyer related that while earlier plans, with particular reference to a pension plan, were initiated as early as 1916, and modified in 1928 and 1940, the present-plans went into effect approximately April 1, 1950, and, while modifica- tions have been made since that date, there has been no change in the complained-of eligibility provisions during that period of time. Relative to past practice, Colyer acknowledged that since 1950 when groups of salaried employees for the first time became represented by bargaining units recognized by Respondent, said employees, in such units, no longer- met the eligibility require- ments under the definition of an, employee as con- tained in each plan. Colyer asserted that such em- ployees were covered under other plans negotiated with the respective collective-bargaining agents, " The record reflects some production and maintenance employees in identifiers plants are not represented Colyer asserted these employees were included under the 1950 Pension Plan s, By way of illustration Respondent cited a situation where a salaried group became represented at an installation in Point Pleasant, West Vir- ginia A letter, under date of May 12, 1961, advised an employee named Frazier, that his previous coverage as a salaried employee, in the amount of there being a number of different unions represent- ing different groups of employees, both salaried and hourly. Colyer acknowledged, relative to the group insurance plan here in issue that either the em- ployees or their collective-bargaining representative was notified that their eligibility to participate in that plan had terminated by reason of the fact that they were now represented by a collective-bargain- ing representative. Colyer then asserted, however, that said employees would be covered under an in- surance plan negotiated with such a representa- tive.26 Colyer 'related that, in addition to numerous plants, where employees are represented by various collective-bargaining agents, Respondent has 1,200 retail outlets in all of which there are salaried em- ployees, some of whom are represented by collec- tive-bargaining representatives while others are no so represented. Accordingly, some of these retail outlet employees are covered under the 1950 pen- sion plan covering employees in the bargaining units, as amended, while others are covered by the noncontributory retirement plan and retirement an- nuity plan (contributory). Colyer asserted that for funding purposes when a group of salaried employees selects a collective- bargaining representative the funding for the fol- lowing year is determined at the yearend on the basis of the changed status; i.e., transfer of the group from the nonrepresented employee plans to the represented employee plans. Colyer acknowledged that this is limited to retirement, an- nuity, and pension plans as distinguished from in- surance plans. Colyer asserted that the transfer from one life insurance program to the other oc- curred simultaneously when the time agreement on a contract with the collective-bargaining represen- tative was reached. Colyer asserted he had no recollection of any in- dividual notice to an employee that they were no longer eligible under the noncontributory retire- ment plan but were under the 1950 pension plan, explaining that they received a copy of the negotiated agreement, having previously been made aware of their prior condition by reason of the booklet distributed. To the contrary, Colyer ex- plained, life insurance has an immediate effect and they are advised of their transfer from the "sal- aried" plan to the "hourly" plan individually. Contentions of the Parties and Concluding Findings The single question to be resolved is whether the restriction of eligibility to employees "not $6,000, under certificate 107709 was being canceled A new certificate was issued in the amount of $4,500, under certificate 118968 Colyer's ex- planation was that the difference was due to the existence of two different plans , one for nonrepresented salaried employees and the other for represented hourly employees It would thus appear- that a represented salaried employee was, for these purposes, considered the same as an hourly employee 550 DECISIONS OF NATIONAL LABOR RELATIONS BOARD represented by a collective-bargaining representa- tive" constitutes interference, restraint, and coer- cion, within the meaning of Section 8(a)(1), or constitutes discrimination in regard to hire and tenure, or terms, or conditions, of employment, within the meaning of Section 8(a)(3) of the Act. General Counsel asserts that the use of the lan- guage is a per se violation, while Respondent urges that the language is "merely descriptive." I find Respondent's reliance on the court deci- sion in the Firestone Synthetic case27 misplaced. Respondent relies on the finding of the court that the eligibility language "not represented by a designated collective bargaining agent," in the words of the court, was "obviously, the terminology was descriptive in origin rather than discriminato- ry."28 Assuming, without deciding, that the ter- minology in the plans in the within case, as stated by the court, "was descriptive in origin" it must be considered in context. I have found, supra, that Dr. Johnson inquired of Fahrenback whether her "benefits" meant anything to her, advised her that if the union effort was successful that she would have to negotiate her benefits, and similarly advised some 20 nurses at the meeting on April 16 that Plant Manager Ball had advised him that if the nurses organized they would have to go back to scratch and renegotiate all of their benefits under the pension, retirement, and life insurance plans. The finding of the Board in the Firestone case 29 thus becomes pertinent: Even assuming the innocence of conception and inauguration of the "plans" some years ago, . . . , especially in the light of Smith's forthright letter, . . . the language in question is clearly violative of Section 8(a)(1) of the Act. That management not only considered these "plans" to be substantial benefits bestowed by it upon nonunion employees only but took affir- mative measures just before the Board-con- ducted election to warn such employees that they would probably lose them if they voted for the Union, clearly manifests their dis- criminatory nature. The discrimination being against union members and adherents, it was unlawful. I have found, supra, from the unqualified state- ment of Colyer, manager of the pension and group insurance departments, that, since 1950 when groups of salaried employees for the first time became represented by bargaining units recognized by Respondent, said employees in such units no 27 Firestone Synthetic Fibers Company v N L R B , 374 F 2d 211 (C A 4), denying enforcement 157 NLRB 1014 In a footnote, supra, I have noted, with all due respect for the Court, I am constrained to adhere to the view of the Board, since I am acting for it lox a Beef Packers, Inc, supra In addition I find clear factual distinctions. 'd Id. at 216 29 157 NLRB at 1019 3° Citing Melville Confections, Inc , 142 NLRB 1334, enfd 327 F 2d 689 (C A 7), cert denied 377 U S 933, Dura Corporation, 156 NLRB 285, enfd 380 F 2d 729 (C A 6), 65 LRRM 3025, The Kroger Co, 164 NLRB 362 longer met the eligibility requirements under the definition of an employee in each plan. However, Colyer also acknowledged that nonrepresented production and maintenance employees in identified plants were included under the 1950 pen- sion plan, as distinguished from the noncontributo- ry retirement and other plans available to non- represented salaried employees. General Counsel contends that the act of main- taining the forfeiture language constitutes per se violations of both Section 8(a)(3) and (1) of the ACt.30 General Counsel urges that evidence of intent is not a prerequisite. to a finding of a per se violation of Section 8(a)(3).3' Intent is founded upon the.in- herently discriminatory or destructive nature of the conduct itself, and the employer must be held to in- tend the consequences which foreseeably and in- escapably flow from its actions. As stated by the court in Melville, supra, 691: It was employer conduct inherently destructive of rights guaranteed by Section 7.... It carried with it its own inherent evidence of intent-it strains credulity to ascribe some other or dif- ferent intent to the provision.32 The factual situation in the Dura case supra ap- pears parallel to the instant case. The -Board and court found that Dura had production maintenance employees who were represented by 5 unions in 12 separate bargaining units, that since 1943 Dura maintained a profit-sharing plan for its executive and salaried personnel, that the plan was restricted to "any salaried employee who is not a member of a Collective Bargaining Unit recognized by such Employer," and that a unit of salaried employees at Ypsilanti selected a union as their collective-bar- gaining representative. Subsequently, during negotiations, the Union withdrew a request for a pension plan and requested that its members be continued in the profit-sharing plan. Dura refused on the ground that the involved employees would, by reason of being members of a collective-bargain- ing unit , be ineligible to remain in the profit-sharing plan. The Board found that the profit-sharing plan, by its own language was a per se violation of Sec- tion 8(a)(3) and (I) of the Act, in that the natural consequence of Dura's action was the discourage- ment of union membership. The court, in granting enforcement, cited the holding of the Supreme Court in the Gaynor News case33 in which the Supreme Court said: "Citing Radio Officers ' Union [Bull Steamship Co 1, 347 US 17 32 In Melville two Board elections were set aside as a` result of the ex- istence of similar restrictive language defining "eligible employees," in a derferred profit-sharing plan, limiting participation to employees "not represented by a Union designated as the bargaining agent for the em- ployee," and its use by Respondent to discourage organizational efforts. 3.3 Gaynor Nests Co v N L R B (one of the three cases consolidated in Radio Officers, supra at 46), where the company granted wage and vacation benefits solely to union members GOODYEAR TIRE & RUBBER CO. 551 In Gaynor, the Second Circuit also properly applied this principle. The Court there held that disparate wage treatment of employees based solely on union membership status is "inherently conducive to increased union membership." In holding that a natural con- sequence of discrimination, based solely on union membership or lack thereof, is discouragement or encouragement of member- ship in such union, the court merely recog- nized a fact of common experience-that the desire of employees to unionize is directly pro- portional to the advantages thought to be ob- tained from such action. No more striking ex- ample of discrimination so foreseeably causing employee response as to obviate the need for any other proof of intent is apparent than the payment of different wages to union employees doing a job than to non-union employees doing the same job. Respondent's efforts in its brief to distinguish Melville, Dura, and Kroger are, I find, without merit. Respondent urges that, as found from the court's emphasis on the "statement, of company policies," the language in Melville was not descrip- tive. Respondent urges that in Dura any descriptive function was negated by explicit statement of posi- tions, during collective -bargaining negotiations, that the involved employees by reason of their membership in a collective -bargaining unit would be ineligible to remain in the profit-sharing plan, thus delimiting those who could participate in the plan. Respondent also urges that in Kroger the Respondent therein asserted that continuation in a profit-sharing plan by represented employees was impossible by virtue of the eligibility provisions. Respondent would assert that no equivalent posi- tion has been asserted by it, and that it never used the descriptive language in a coercive or dis- criminatory manner. I have found to the contrary. It is undisputed that represented salaried employees have in the past, solely by reason of such represen- tation, been removed from the plans complained of, and the nurses herein were warned and threatened that the same result would follow if they organized. I find no merit in Respondent's assertion that the statements of Dr. Johnson were protected within the meaning of Section 8(c). Accordingly, for the reasons set forth, I find Respondent, by maintaining and enforcing the non- contributory retirement plan, the retirement annui- typlan (contributory), and the group insurance plan, during the period commencing 6 months prior to the filing of the charge herein, on April 27, 1967, and thereafter, containing the unlawful restrictive clauses described, enumerated supra, as an integral part of the formula utilized to determine employee eligibility to participate , engage in con- duct constituting discrimination in regard to hire or tenure or terms or conditions of employment, and was thus violative of Section 8(a)(3) of the Act, and constituted interference , restraint , and coer- cion within the meaning of Section 8(a)(1) of the Act. IV. THE EFFECT OF THE UNFAIR LABOR PRACTICES UPON COMMERCE The activities of the Respondent, set forth in sec- tion III, above, occurring in connection with the operations of the Respondent, described in section I, above, have a close, intimate, and substantial rela- tion to trade, traffic, and commerce among the several States and tend to lead to labor disputes, burdening and obstructing commerce and the free flow thereof. V. THE REMEDY Having found that the Respondent has engaged in certain unfair labor practices, I will recommend that it cease and desist therefrom and take certain affirmative action designed to effectuate the poli- cies of the Act. I have found that by maintaining and enforcing those provisions, enumerated supra, in its noncon- tributory retirement plan, retirement annuity plan (contributory), and a noncontributory 'group in- surance plan, including group, life and accidental death and dismemberment insurance plan, for salaried employees, excluding from participation therein otherwise eligible employees who become members of a collective-bargaining unit, the Respondent violated Section 7 rights of its em- ployees and also unlawfully discriminated against them with respect to their hire and tenure and terms and conditions of employment. I will ac- cordingly recommend that the Respondent be or- dered to amend the foregoing noncontributory retirement plan, retirement annuity plan,, and non- contributory group insurance plan, by the elimina- tion from each of said plans and the booklets describing said plans the provisions disqualifying employees from participation therein because they have become members of a collective-bargaining unit or because they have chosen to be represented by a labor 'organization in collective bargaining in an appropriate unit.34 I will further recommend that Respondent be or- dered to cease and desist from in any like or related manner infringing upon rights guaranteed to, its em- ployees by Section 7 of the Act. " In the Dura case , supra , the Board , in addition , ordered reinstatement of all old and new salaried employees who were or have been so disqualified , with all the interest , emoluments , rights, and privileges that would have accrued to them General Counsel has not sought such a remedy In addition , it is reasonable to imply that a number of collective- bargaining agreements with a variety of unions have ensued providing al- ternative plans While the nurses herein were threatened with a loss of these benefits, there is no evidence of any overt act by Respondent result- ing in such loss, herein Accordingly, I am constrained to limit the relief by not exceeding the relief requested 552 DECISIONS OF NATIONAL LABOR RELATIONS BOARD Upon the basis of the-foregoing findings of fact and upon the entire record in the case, I make the following: CONCLUSIONS OF LAW 1. Respondent is an employer within the mean- ing of Section 2(2) of the Act and is engaged in commerce within the meaning of Section 2(6) and (7) of the Act. 2. United Rubber, Cork, Linoleum and Plastic Workers of America, AFL-CIO, is a labor or- ganization within the meaning of Section 2(5) of the Act. 3. By maintaining and enforcing a noncontribu- tory retirement plan, a retirement annuity plan (contributory), and a noncontributory group in- surance plan, including group life and accidental death and dismemberment insurance plan, for its salaried employees, each of which excludes, from participation therein those employees who become members of a collective-bargaining unit or select a labor organization recognized by Respondent as their collective-bargaining representative in an ap- propriate unit, the Respondent .has interfered with, restrained, and coerced its employees in the exer- cise of their rights guaranteed by Section 7 of the Act, and has discriminated against employees with respect to their hire and tenure and teri is and con- ditions of employment, and has engaged in unfair labor practices within the , meaning- of Section 8(a)(1) and (3) of the Act. 4. By threatening those salaried employees, en- gaged as nurses, at its Akron, Ohio, hospitals, on or about April 16, 1967, and on other dates, found supra, with the loss of eligibility for participation in said noncontributory retirement plan, retirement annuity plan, and noncontributory group insurance plan should they select a labor organization as their bargaining representative, to the extent herein above found, and by engaging in,conduct found to constitute interference, restraint, and coercion to the extent hereinabove found, Respondent has-in- terfered with, restrained, and coerced its employees in the exercise of their rights guaranteed in Section 7 of the Act, and said conduct is an unfair labor practice within the meaning of Section 8(a)(1) of the Act. 5. The aforesaid unfair labor practices are unfair labor practices affecting commerce within the meaning of Section 2(6) and (7) of the Act. RECOMMENDED ORDER Upon the basis of the above findings of fact, con- clusions of law , and the entire record in the case, and pursuant to Section 10(c) of the National Labor Relations Act, as amended, it is recom- mended that Respondent, The Goodyear Tire & Rubber Company, its officers, agents, success- sors, and assigns, shall: - 1. Cease and desist from: (a) Maintaining and enforcing a noncontributory retirement plan, retirement annuity plan, and non- contributory group insurance plan for its, salaried employees which contain a provision excluding em- ployees from participation therein because they become members of a collective-bargaining unit or choose to be represented by a labor organization in collective bargaining in an appropriate unit. (b) Disqualifying its employees from eligibility to participate, or threatening employees with loss of participation, in a noncontributory retirement plan, a retirement annuity plan, or, a noncontributory group insurance plan for salaried employees because they become members of a collective-bar- gaining unit or choose to be represented by a labor organization for the purposes of collective bargain- ing in an appropriate unit. (c) Threatening employees with less desirable working conditions, or other economic reprisals, if the employees select the United Rubber, Cork, Linoleum and Plastic Workers of America, AFL-CIO, or any other union, to represent them. (d) Interrogating employees concerning their or- ganizational activities in a manner violative of Sec- tion 8(a)(1) of the Act. (e) Granting- benefits to its employees,to induce them to refrain from becoming or remaining mem- bers of, or to withdraw their support of activities on behalf of, United Rubber, Cork, Linoleum, and Plastic Workers of America, AFL-CIO, or any other labor organization. (f) Announcing to- its employees that Respon- dent has adopted a plan providing for wage in- creases; however, that said wage increase plan was abandoned and said wage increases would be withheld because of the union activities of the em- ployees. (g) In any like or related manner interfering with, restraining, or coercing its employees in the exercise of their right to self-organization, to form labor organizations,, to join or assist any labor or- ganization, to bargain _ collectively through representatives of their own choosing, and to en- gage in concerted activities for the purpose.of col- lective bargaining or other mutual aid or protec- tion, or to refrain from any and all such activities, except to the extent that such right may be affected by an agreement requiring membership in a labor organization as a condition of employment, as authorized in Section 8(a)(3) of the Act, as modified by the Labor-Management Reporting and Disclosure Act of 1959. 2. Take the following affirmative action designed to effectuate the policies of the Act: (a) Amend its noncontributory retirement plan, its retirement annuity plan, and its noncontributory group insurance plan for salaried employees by the elimination from each the provisions excluding from participation therein employees who become members of a collective-bargaining unit, or who GOODYEAR TIRE select a labor organization recognized by ,Respon- dent to represent them in collective bargaining in an appropriate unit, and similarly amend the booklets distributed by Respondent to its salaried employees, titled "Pension Plans for Salaried Em- ployees," and "Group Insurance Plan for Salaried Employees," by striking, from each, the offensive language, more fully set forth supra.` (b) Post at its plants and hospitals in the Akron, Ohio, area copies of the attached notice marked "Appendix. "36 Copies of said notice, on forms pro- vided by the Regional Director for Region 8, after being duly signed by Respondent's representative, shall be posted by Respondent immediately upon receipt thereof, and be maintained by it for 60 con- secutive days thereafter, in conspicuous places, in- cluding all places where notices to employees are customarily posted. Reasonable steps shall be taken by Respondent to insure that said notices are not altered, defaced, or covered by any other material. (c) Notify the Regional Director for Region 8, in writing, within 20 days from the receipt of this Decision, what steps have been taken to comply herewith. IT IS FURTHER RECOMMENDED that unless, within 20 days from the date of the receipt of this Trial Examiner's Decision, the Respondent shall notify the said Regional Director, in writing, that it will comply with the foregoing Recommended Order37 the National Labor Relations Board issue an Order requiring Respondent to take the aforesaid action. 8' If and when any participating employees become represented by a col- lective-bargaining agent , this Recommended Order shall not be taken as precluding the right of either the Respondent or such bargaining agent to require bargaining concerning the termination , modification , or admend- ment of such plan or substitution of another therefor Firestone Synthetic Fibers Company, supra, and fn 1 thereof 36 In the event that this Recommended Order is adopted by the Board, the words "a Decision and Order" shall be substituted for the words "the Recommended Order of a Trial Examiner" in the notice In the further event that the Board's Order is enforced by a decree of a United States Court of Appeals, the words "a Decree of the United States Court of Ap- peals Enforcing an Order" shall be substituted for the words "a Decision and Order " 37 In the event that this Recommended Order is adopted by the Board, this provision shall be modified to read "Notify said Regional Director, in writing, within 10 days from the date of this Order, what steps Respondent has taken to comply herewith " APPENDIX NOTICE TO ALL EMPLOYEES Pursuant to the Recommended Order of a Trial Examiner of the National Labor Relations Board and in order to effectuate the policies of the Na- tional Labor Relations Act, as amended, we hereby notify our employees that: WE WILL amend our noncontributory retire- ment plan and our retirement annuity plan & RUBBER CO. - 553 (contributory), each for salaried employees, and our booklet titled pension plans for salaried employees setting forth such plans, and our group insurance plan for salaried em- ployees, including accidental death and dismemberment insurance for salaried em- ployees, and the booklet describing said plan, by the elimination, from each of said plans and each of said booklets, of the provision in each plan, which excludes from participation any salaried employee who becomes a member of a collective-bargaining unit recognized by us, or by any subsidiary of this Company by which he is employed. WE WILL NOT disqualify our salaried em- ployees from eligibility, or threaten employees with loss of participation in any of the enu- merated plans, set forth in the paragraph im- mediately above, because they become mem- bers of a collective-bargaining unit or choose to be represented by a labor organization for the purposes of collective bargaining, in an ap- propriate unit. WE WILL NOT threaten employees with less desirable working conditions or other economic reprisals if the employees select United Rubber, Cork, Linoleum and Plastic Workers of America, AFL-CIO, or any other union, to represent them. WE WILL NOT interrogate employees con- cerning their organizational activities in a manner violative of Section 8(a)(1) of the Act. WE WILL NOT grant benefits to our em- ployees to induce them to refrain from becom- ing or remaining members or to withdraw their support of activities on behalf of United Rubber, Cork, Linoleum and Plastic Workers of America, AFL-CIO, or any other labor or- ganization. WE WILL NOT announce to employees that we have adopted a plan providing for wage in- creases, however, that said wage increase plan was abandoned and said wage increase would be withheld because of the union activities of the employees. WE WILL NOT in any like or related manner interfere with, restrain, or coerce our em- ployees in the exercise of their right to self-or- ganization , to form labor organizations , to join or assist any labor organization , to bargain col- lectively through representatives of their own choosing, and to engage in concerted activities for the purpose of collective bargaining or other mutual aid or protection, or to refrain from any and all such activities, except to the extent that such rights may be affected by an agreement requiring membership in a labor or- ganization as a condition of employment, as authorized in Section 8(a)(3) of the Act, as 554 DECISIONS OF NATIONAL LABOR RELATIONS BOARD modified by the Labor-Management Reporting This notice must remain posted for 60 consecu- and Disclosure Act of 1959. tive days from the date of posting and must not be altered, defaced, or covered by any other material. THE GOODYEAR TIRE & RUBBER COMPANY If employees have any question concerning this (Employer) notice or compliance with its provisions, they may communicate directly with the Board's Regional Dated By Office, Federal Office Building, Room 1695, 1240 East 9th Street, Cleveland, Ohio 44199, Telephone (Representative) (Title) 522-3725. Copy with citationCopy as parenthetical citation