Mineola Ford SalesDownload PDFNational Labor Relations Board - Board DecisionsSep 30, 1981258 N.L.R.B. 406 (N.L.R.B. 1981) Copy Citation DECISIONS OF NATIONAL LABOR RELATIONS BOARD Mineola Ford Sales, Ltd. and Local 810, Interna- tional Brotherhood of Teamsters, Chauffeurs, Warehousemen and Helpers of America. Cases 29-CA-7716 and 29-CA-8117 September 30, 1981 DECISION AND ORDER BY MEMBERS FANNING, JENKINS, AND ZIMMERMAN On December 19, 1980, Administrative Law Judge D. Barry Morris issued the attached Deci- sion in this proceeding. Thereafter, the General Counsel filed exceptions and a supporting brief, and Respondent filed cross-exceptions and a sup- porting 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 au- thority in this proceeding to a three-member panel. The Board has considered the record and the at- tached Decision in light of the exceptions and briefs and has decided to affirm the rulings, find- ings,I and conclusions of the Administrative Law Judge only to the extent consistent herewith and to adopt his recommended Order as modified herein. 1. Respondent has excepted to the Administra- tive Law Judge's finding that it unlawfully interro- gated Bernard Africk in violation of Section 8(a)(1) of the Act by requesting Africk to supply it with information concerning his interim employment without providing the protections mandated by Johnnie's Poultry Co.2 We agree with Respondent that its conduct did not violate the Act for the rea- sons set forth below. Africk was discharged by Respondent on De- cember 28, 1979. On February 29, 1980, the Gener- al Counsel issued a complaint against Respondent alleging, inter alia, that Africk's discharge violated Section 8(a)(3) of the Act.3 On May 28, 1980, Re- spondent's counsel sent Africk a letter requesting that he submit information to Respondent each week concerning his efforts to obtain new employ- ment. In this regard, Respondent sought informa- tion as to the dates of job applications, names of firms to which applications were made, details of the positions applied for, methods by which job 'The General Counsel has excepted to certain credibility findings made by the Administrative Law Judge. It is the Board's established policy not to overrule an administrative law judge's resolutions with re- spect to credibility unless the clear preponderance of all of the relevant evidence convinces us that the resolutions are incorrect. Standard Dry Wall Products, Inc., 91 NLRB 544 (1950), enfd. 188 F.2d 362 (3d Cir. 1951). We have carefully examined the record and find no basis for re- versing his findings. 2 Johnnie's Poultry Co. and John Bishop Poultry Co., Successor, 146 NLRB 770 (1964). ' We adopt the Administrative Law Judge's finding that Africk's dis- charge was not unlawful. 258 NLRB No. 52 leads were obtained, names and addresses of em- ployers, hours worked, and amounts of earnings. The letter further advised Africk: In the event that you should fail to comply with this request, your failure to do so will be brought to the attention of the Administrative Law Judge handling any possible backpay pro- ceeding and a demand will be made at that time for you to produce this information. Africk did not respond to the letter. The Administrative Law Judge concluded that Respondent failed to observe the principles of Johnnie's Poultry in that Respondent did not advise Africk that his participation in furnishing this infor- mation was on a voluntary basis. He also noted that the letter contained no assurances against re- prisals and that the inquiry was not made in a con- text free of employer hostility to union organiza- tion. Contrary to the Administrative Law Judge, we find that Respondent did not violate Section 8(a)(1) in this instance. Africk was "interrogated" not about his union or other concerted protected activ- ities, but rather about matters of legitimate concern to Respondent in connection with its possible back- pay liability. Of course Africk may not have been under any obligation to comply with the request, at least until the backpay stage of the proceeding-as- suming the case progressed to such a proceeding. Nevertheless the lack of any obligation to comply, under the circumstances here, is not sufficient to make the request for information violative of Sec- tion 8(a)(1) of the Act. In reaching this conclusion, we note that the instant case is distinguishable from our recent decision in W. W Grainger, Inc., 255 NLRB 1106 (1981). There we concluded that the interrogation of an alleged discriminatee by a re- spondent's attorney after the discharge and filing of charges clearly related to the former employee's union activity while working for the company. In the instant case, Respondent's alleged unlawful in- terrogation did not pertain to Africk's involvement in conduct protected by Section 7 of the Act. Ac- cordingly, we shall dismiss this allegation of the complaint. 4 2. Additionally, the Administrative Law Judge found that in late October 1979 Joseph Vavaro, Respondent's general manager, accused then-em- ployee Africk of "bad mouthing" the Company. Africk replied that he was not "bad mouthing" Re- spondent and then asked what owner David Rapp ' Member Zimmerman concurs in this result for the reasons stated in his dissent in W W Grainger, Inc.. supra. 406 MINEOLA FORD SALES had against him. Vavaro responded: "It's your as- sociation with the Union." The Administrative Law Judge dismissed this 8(a)(1) allegation, apparently because he concluded Vavaro's remark did not constitute a sufficiently explicit threat. Contrary to the Administrative Law Judge, we find that Vavaro's remark violated Sec- tion 8(a)(1) of the Act. It is clear from the record that the reference to Africk's "association with the Union" related to his activities in serving as shop steward and as a member of the Union's negotiat- ing team. Only 3 weeks prior to this incident, Africk had refused Respondent's request that he cross the picket line established by another bargain- ing unit of Respondent's employees who also are represented by the Union. In the circumstances present here, we find that Vavaro's statement clear- ly indicated that Africk was in disfavor with man- agement because of his union activity, and that management would "hold it against" Africk. Ac- cordingly, we conclude the remark constituted a veiled threat of reprisal for Africk's involvement in union activities. 5 AMENDED CONCLUSIONS OF LAW Substitute the following for Conclusion of Law 3: "3. By threatening employees with reprisals for their involvement in union activities, Respondent has interfered with restrained, and coerced its em- ployees in violation of Section 8(a)(l) of the Act." ORDER Pursuant to Section 10(c) of the National Labor Relations Act, as amended, the National Labor Re- lations Board adopts as its Order the recommended Order of the Administrative Law Judge, as modi- fied below, and hereby orders that the Respondent, Mineola Ford Sales, Ltd., Mineola, New York, its officers, agents, successors, and assigns, shall take the action set forth in the said recommended Order, as so modified: 1. Substitute the following for paragraph l(a): "(a) Threatening employees with reprisals for their involvement in union activities." 2. Substitute the attached notice for that of the Administrative Law Judge. ' See, e.g., Inter-Polymer Industries, Inc., 196 NLRB 729, 735-736 (1972). APPENDIX NOTICE To EMPLOYEES POSTED BY ORDER OF THE NATIONAL LABOR RELATIONS BOARD An Agency of the United States Government After a hearing at which all sides had an opportu- nity to present evidence and state their positions, the National Labor Relations Board found that we have violated the National Labor Relations Act, as amended, and has ordered us to post this notice. WE WILL NOT threaten employees with re- prisals for their involvement in union activi- ties. WE WILL NOT in any like or related manner interfere with, restrain, or coerce employees in the exercise of the rights guaranteed them by Section 7 of the National Labor Relations Act. MINEOLA FORD SALES, LTD. DECISION STATEMENT OF THE CASE D. BARRY MORRIS, Administrative Law Judge: This case was heard in Brooklyn, New York, on July 31 and August 1, 1980. Charges were filed on January 18 and June 26, 1980, and a complaint was issued on February 29 and amended July 18, 1980, alleging that Mineola Ford Sales, Ltd. (Respondent), violated Section 8(a)(1) and (3) of the National Labor Relations Act, as amended (the Act). Respondent filed an answer denying the com- mission of the alleged unfair labor practices. The parties were given full opportunity to participate, produce evidence, examine and cross-examine witnesses, argue orally, and file briefs. Briefs were filed by the General Counsel and Respondent.' Upon the entire record of the case, including my ob- servation of the witnesses, I make the following: FINDINGS OF FACT I. THE BUSINESS OF RESPONDENT Respondent, a New York corporation, with its princi- pal office and place of business in Mineola, New York, is engaged in the retail sale and distribution of new and used automobiles and related products and services. During the 12 months preceding issuance of the com- plaint, Respondent's gross revenues were in excess of $500,000. During the same period, Respondent purchased goods valued in excess of 50,000 from points outside New York for sale at its facility in Mineola. Respondent admits that it is engaged in commerce within the mean- ing of Section 2(2), (6), and (7) of the Act, and I so find. 'The General Counsel attached as Appendix A to his brief a copy of a decertification petition in Case 29-RD-328. Respondent filed a motion to strike Appendix A and the General Counsel filed an opposition. Upon due consideration, Respondent's motion to strike is hereby denied 407 DECISIONS OF NATIONAL LABOR RELATIONS BOARD II. THE LABOR ORGANIZATION INVOLVED Local 810, International Brotherhood of Teamsters, Chauffeurs, Warehousemen and Helpers of America (the Union), is a labor organization within the meaning of Section 2(5) of the Act. III. THE ALLEGED UNFAIR LABOR PRACTICES A. The Issues The amended complaint alleges that Respondent vio- lated Section 8(a)(1) and (3) of the Act by depriving cer- tain employees of commission wages for union activities, by threatening to discharge and discharging an employee for union activities, and by demanding that an employee furnish Respondent with information concerning his ef- forts to obtain employment following his discharge. Re- spondent denied the allegations. The issues thus are: (1) were certain employees deprived of commission wages because of union activities; (2) was an employee threat- ened to be discharged and discriminatorily discharged for having engaged in union activities; and (3) was a re- quest for information concerning the discharged employ- ee's efforts to obtain employment a violation of the Act. B. Discussion 1. Background On or about April 2, 1979, David Rapp purchased the assets of an automobile dealership, Mineola Ford, Inc., and changed the name of the company to Mineola Ford Sales, Ltd. As president of Respondent, Rapp continued to employ the former Mineola Ford employees. Among the salesmen on the payroll on April 22 were Bernard Africk and Charles Schlessinger. Africk and Schlessinger were both used-car salesmen and Africk was shop ste- ward. Prior to Rapp's purchase of the dealership, the sales- men and shop employees were covered under collective- bargaining agreements with the Union. Rapp agreed to honor both collective-bargaining agreements then in effect. On or about October 1, when the collective-bargaining agreements expired, the shop employees went out on strike for approximately 3 days. Africk and Schlessinger refused to cross the picket line. On December 29, without stating a reason, Respond- ent's sales manager orally discharged Africk. Thereafter, on May 28, 1980, counsel for Respondent sent a letter to Africk requesting detailed information concerning his ef- forts to locate employment. Africk did not respond to the letter. 2. Commission wages The complaint alleges that Respondent deprived Africk and Schlessinger of commission wages to which they were entitled by referring customers to other sales- men. The complaint further alleges that this was done because Africk was the shop steward for the Union, be- 2 Unless otherwise specified dates refer to 1979. cause Africk and Schlessinger joined in a strike in Octo- ber, and because they joined and assisted the Union. The testimony indicates that certain changes occurred when Rapp took over the dealership. Thus, Schlessinger testified that after April he was not able to determine the amount of his commission in all cases because he was not told what the "car came in for." Similarly, Africk testi- fied that after Rapp took over the dealership he was not able to compute the amount of his commission because he was not told what the car cost. Rapp testified that it was his policy not to disclose the cost of the used car to the salesmen. He explained this policy as follows: There is a very good reason for that, and it's how I always work it all my years of doing busi- ness. What happens, if the salesman knows the com- mission on one car is going to be less than the other car, naturally he's going to sell the more-the car he can get the more-the most commission, and you wind up with all stale inventory. And, by the time you are done, you are finished because . . . they will not sell the cars with the low commissions. Africk also testified that after April telephone inquiries concerning purchases of automobiles were handled on a different basis. He stated that "after Mr. Rapp took over, calls for used cars . . . were few and far between, there could have been days that we never received an in- quiry." In addition, Africk testified that he complained to Rapp that the latter's brother, Jonathan Rapp, a new-car salesman, was permitted to sell used cars. Africk testified that he told Rapp that he was unable to make a living with Rapp's brother selling used cars. Rapp replied that "it was his business and he would do what he wanted." Another complaint was that Rapp changed the proce- dures followed by Mineola Ford, Inc., by permitting an outside salesman to sell cars. Rapp testified that the out- side salesman, known in the industry as a "bird dog," was Randy Renchaw, whom Rapp had been doing busi- ness with since 1972 or 1973. Renchaw brought custom- ers to the dealership from outside the dealer's normal selling territory. In support of the allegation, the General Counsel states that Africk and Schlessinger were the only salesmen to honor the shop employees' strike and were both mem- bers of the union contract negotiating team which met at the beginning of October. The General Counsel further states that, by reducing the number of customers referred to Africk and Schlessinger, Respondent "in effect re- duced their earnings in reprisal for their support of the Union." The General Counsel has not shown that the changes which took place were in "reprisal" for Africk's and Schlessinger's support of the Union or indeed in any way related to their union activities. The changes which took place were instituted long before the strike or negotiating session in October. Thus, as previously discussed, the change in disclosing costs occurred in April, after Rapp purchased the dealership. Similarly, changes with respect 408 MINEOLA FORD SALES to telephone inquiries, outside salesmen, and sales of used cars by new-car salesmen were changes in policy effect- ed by Rapp after he took over the dealership. There is no evidence that these changes were instituted to ad- versely affect only Africk and Schlessinger. On the con- trary, the evidence is that these were companywide changes in policy, affecting all salesmen alike, which took place upon Rapp's purchase of the dealership. As detailed above, the evidence does not sustain the allegation that Africk and Schlessinger were deprived of commission wages because Africk was shop steward, be- cause Africk and Schlessinger refused to cross the picket line in October, and because they joined and assisted the Union. Accordingly, the allegation is dismissed. 3. Discharge of Africk The complaint alleges that on or about December 28 Respondent discharged Africk because he was the shop steward for the Union, because he joined in a strike in October, and because he joined and assisted the Union. Respondent contends, on the other hand, that Africk was discharged because of his uncooperative attitude, his be- havior towards customers, and his poor sales perform- ance. The Board has recently restated the test to be applied in so-called "mixed motive" cases. Wright Line, a Divi- sion of Wright Line, Inc., 251 NLRB 1083 (1980). The Board requires that the General Counsel make a prima facie showing sufficient to support the inference that pro- tected conduct was a motivating factor in the employer's decision. Once this is established, the burden shifts to the employer to demonstrate that the "same action would have taken place even in the absence of the protected conduct." It is necessary to examine certain established elements to determine whether the General Counsel has made a prima facie showing that Africk's union activity was a motivating factor in his discharge. These elements are knowledge of union activity, animus, timing, and the va- lidity of the reasons for the discharge. Respondent clearly knew of Africk's union activity- Africk was the shop steward and he was a member of the contract negotiating team. With respect to Respond- ent's attitude toward the Union, I credit Schlessinger's testimony that Rapp stated "he didn't have any use for the Union, he didn't care what they had to say." Africk testified in a similar vein. Concerning "timing," the nexus between Africk's dis- charge and his union activities becomes more difficult. Africk was shop steward as early as April and his union activities commenced at that time, yet he was not dis- charged until December 28. Similarly, Africk's refusal to cross the picket line occurred almost 3 months prior to his discharge. The main area of disagreement between the parties re- lates to the reasons for the discharge. The General Coun- sel contends that Africk was discharged for his union ac- tivities. Thus, Africk credibly testified that during the strike Rapp "asked me to go back to work." The testi- mony continued: Q. What did you respond? A. My response was that I was a union man and I would not cross the picket line. Q. What happened then? A. At that point he told me to turn in my demon- strator. Q. What is a demonstrator? A. A demonstrator is an automobile that's part of the salesman's tools. Q. What did you respond? A. My response was I didn't have the automobile with me at the time and I couldn't turn it in. Q. What happened after that? A. There was no other conversation. Africk further testified that, approximately 3 weeks after the strike, Vavaro, the sales manager, asked Africk why he was "bad mouthing" Mineola Ford. Africk re- sponded that he was not "bad mouthing" Mineola Ford and asked what Rapp had "against" him. Africk testified that Vavaro stated, "It's your association with the Union." Respondent argues that Africk was discharged because of his uncooperative attitude, his behavior towards cus- tomers, and his poor sales performance. Thus, Vavaro testified that Africk was continually "bad mouthing" Re- spondent. He stated: I would hear from many, many sources; they would come to me, because I was the manager, that he was trying to discourage them, saying such things as "this place won't last another week," "this place won't last another month," "this place is too big," "other people have not been able to make it suc- cessful," words to that effect. Vavaro further testified, and I credit his testimony, that he constantly had to remind Africk to put the lights on and often had to remind Africk to wait on customers. Rapp testified that Africk had a negative attitude and was uncooperative with respect to moving cars on the lot. Indeed, Africk corroborated this testimony, stating that he "refused the order" to detail automobiles, clean trunks, clean up tires and move cars. Finally, Rapp credibly testified that he decided to dis- charge Africk because of losses in his business and be- cause of Africk's low sales performance. Rapp testified as follows: Q. At the time you terminated Mr. Africk, had you decided to reduce the staff in the used car lot? A. I had to reduce my overhead, and my losses were quite heavy up to this point, and I just had to do something to-for my own survival. Q. Did you reduce the salesmen? A. Yes. I reduced it from two to one. Rapp further testified: Q. Can you explain once again why you fired Mr. Africk? A. It's a combination of things; low sales per- formance mainly. 409 DECISIONS OF NATIONAL LABOR RELATIONS BOARD Based on the record, I find that the General Counsel has not made a prima facie showing that protected con- duct was a motivating factor in Respondent's decision to discharge Africk. Respondent had been aware of Africk's union activities for many months prior to his discharge. Africk had been involved in union activities and was shop steward for 9 months prior to his discharge and his refusal to cross the picket line occurred approximately 3 months prior to his discharge. Concerning Africk's role as shop steward, his activities were minimal. From April until Africk's discharge no grievances were brought by Africk nor were any re- quests for arbitration filed. While Africk testified that Rapp asked him to go back to work during the strike, no adverse action was taken when Africk refused to cross the picket line. Thus, even though Rapp requested that Africk turn in his demon- strator, when Africk failed to do so, no further steps were taken by Rapp.3 Rather than Africk's union activity being a motivating factor in Africk's discharge, I find that the motivating factors in Africk's discharge were his uncooperative atti- tude, his low sales performance, and Respondent's heavy losses and requirement to reduce overhead.4 It follows that the General Counsel has not sustained his burden of proving that Africk's discharge was violative of the Act. Accordingly, such allegation is dismissed.5 4. Request for information On May 28, 1980, Respondent's counsel wrote to Africk concerning the instant proceeding. The letter stated that as a result of this proceeding "there may be a claim for backpay on your behalf." The letter requested that Africk file information, on a weekly basis, relating to his efforts to obtain employment. The information re- quested included dates of job applications, names of firms to which applications were made, details of positions ap- plied for, methods by which "leads" were obtained, names and addresses of employers, hours worked, and amount of earnings. The letter further advised Africk: In the event that you should fail to comply with this request, your failure to do so will be brought to the attention of the Administrative Law Judge han- dling any possible backpay proceeding and a a As noted previously, in a meeting between Africk and Vavaro in Oc- tober, Africk asked what Rapp "has against me." The response was "it's your association with the Union." Rapp's attitude towards the Union was clear. In August he had told Schlessinger that "he didn't have any use for the Union." Yet, Africk was not discharged until December 28. 1 find that the General Counsel has not made a showing that Respondent's dis- like for the Union was a motivating factor in Africk's discharge. I Even were it argued that the General Counsel has made a prima facie showing that protected activity was a motivating factor in Africk's dis- charge, I find that because of the factors discussed above. viz, Africk's attitude, sales performance, and Respondent's requirement to reduce overhead, the discharge would have taken place "even in the absence of the protected conduct." Wright Line, Inc., supra, 251 NLRB 1083. s The complaint also alleges that Respondent threatened its employees with discharge and other reprisals if they became or remained union members, and if they gave any assistance and support to it. The only evi- dence cited by the General Counsel to support this allegation is Vavaro's response to Africk, referred to above, "It's your association with the Union." I find no evidence of threats to discharge or other reprisals in the record. Accordingly, the allegation is dismissed. demand will be made at that time for you to pro- duce this information. While an employer may have a legitimate interest in securing information concerning an alleged discrimina- tee's interim employment efforts to defend itself in a backpay proceeding, the employer is not privileged to seek such information in a manner which may tend to re- strain or coerce employees from participating in Board procecdings as alleged discriminatees. Although the Board permits interrogation under cer- tain circumstances, the Board has established specific safeguards to minimize the coercive impact of such em- ployer interrogation. These safeguards were spelled out in Johnnie's Poultry Co., 146 NLRB 770, 775 (1964), en- forcement denied on other grounds 334 F.2d 617 (8th Cir. 1965): 6 [T]he employer must communicate to the em- ployee the purpose of the questioning, assure him that no reprisal will take place, and obtain his par- ticipation on a voluntary basis; the questioning must occur in a context free from employer hostility to union organization and must not be itself coercive in nature; and the questions must not exceed the ne- cessities of the legitimate purpose by prying into other union matters, eliciting information concern- ing an employee's subjective state of mind, or other- wise interfering with the statutory rights of employ- ees. When an employer transgresses the boundaries of these safeguards, he loses the benefits of the privilege. Respondent did not observe all of the safeguards. Thus, Respondent failed to advise Africk that his partici- pation in furnishing the information was on a voluntary basis. To the contrary, Respondent's warning that Africk's failure to comply "will be brought to the atten- tion of the Administrative Law Judge" would seem to imply that Africk was required to supply the information and that possible sanctions would accrue for failure to comply. 7 Accordingly, because the request for information was made without observing all of the safeguards established by the Board, I find that the request for information was coercive and conclude that Respondent violated Section 8(a)(l) of the Act. CONCLUSIONS OF LAW I. Respondent is an employer engaged in commerce within the meaning of Section 2(2), (6), and (7) of the Act. 2. The Union is a labor organization within the mean- ing of Section 2(5) of the Act. 3. By interrogating an employee without providing the necessary safeguards, Respondent has engaged in an 6 See also Tamper, Inc., 207 NLRB 907, 936-937 (1973), enfd. 522 F.2d 781 (4th Cir. 1975). 7 In addition, the letter contained no assurances against reprisals, and, in view of Respondent's attitude towards the Union, did not "occur in a context free of employer hostility to union organization." 410 MINEOLA FORD SALES unfair labor practice within the meaning of Section 8(a)(1) of the Act. 4. The aforesaid unfair labor practice affects commerce within the meaning of Section 2(6) and (7) of the Act. 5. Respondent did not violate the Act in any other manner alleged in the complaint. THE REMEDY Having found that Respondent has engaged in an unfair labor practice, I find it necessary to order Re- spondent to cease and desist therefrom and to take cer- tain affirmative action designed to effectuate the policies of the Act. Upon the foregoing findings of fact, conclusions of law, and the entire record, and pursuant to Section 10(c) of the Act, I hereby issue the following recommended: ORDER 8 The Respondent, Mineola Ford Sales, Ltd., Mineola, New York, its officers, agents, successors, and assigns, shall: 1. Cease and desist from: "In the event no exceptions are filed as provided by Sec. 102.46 of the Rules and Regulations of the National Labor Relations Board, the find- ings, conclusions, and recommended Order herein shall, as provided in Sec. 102.48 of the Rules and Regulations, be adopted by the Board and become its findings, conclusions, and Order, and all objections thereto shall be deemed waived for all purposes. (a) Interrogating its employees in a manner interfering with the rights guaranteed them by Section 7 of the Act. (b) In any like or related manner interfering with, re- straining, or coercing employees in the exercise of the rights guaranteed them under Section 7 of the Act. 2. Take the following affirmative action necessary to effectuate the policies of the Act: (a) Post at its facility in Mineola, New York, copies of the attached notice marked "Appendix." 9 Copies of said notice, on forms provided by the Regional Director for Region 29, after being duly signed by Respondent's au- thorized representative, shall be posted by Respondent immediately upon receipt thereof, and be maintained by it for 60 consecutive days thereafter, in conspicuous places, including all places where notices to employees are customarily posted. Reasonable steps shall be taken by Respondent to insure that the notices are not altered, defaced, or covered by any other material. (b) Notify the Regional Director for Region 29, in writing, within 20 days of the date of this Order, what steps Respondent has taken to comply herewith. IT IS FURTHER ORDERED that those allegations of the complaint as to which no violations have been found are hereby dismissed. 9 In the event that this Order is enforced by a Judgment of the United States Court of Appeals, the words in the notice reading "Posted by Order of the National Labor Relations Board" shall read "Posted Pursu- ant to a Judgment of the United States Court of Appeals Enforcing an Order of the National Labor Relations Board." 411 Copy with citationCopy as parenthetical citation