Varco Phono Parts Corp.

National Labor Relations Board - Board Decisions

Jul 31, 1980

250 N.L.R.B. 1255 (N.L.R.B. 1980)

VARCO PHONO PARTS CORP
Varco Phono Parts Corp. and Leather Goods, Plas-
tics, Handbags and Novelty Workers Union,
Local 1, AFL-CIO. Case 29-CA-7751
July 31, 1980
DECISION AND ORDER
By MEMBERS JENKINS, PENELLO, AND
TRUESDALE
Upon a charge filed on January 31, 1980, by
Leather Goods, Plastics, Handbags and Novelty
Workers Union Local I, AFL-CIO, herein called
the Union, and duly served on Varco Phono Parts
Corp., herein called Respondent, the General
Counsel of the National Labor Relations Board, by
the Regional Director for Region 29, issued a com-
plaint on March 3, 1980, against Respondent, alleg-
ing that Respondent had engaged in and was en-
gaging in unfair labor practices affecting commerce
within the meaning of Section 8(a)(5) and (1) and
Section 2(6) and (7) of the National Labor Rela-
tions Act, as amended. Copies of the charge and
complaint and notice of hearing before an adminis-
trative law judge were duly served on the parties
to this proceeding. Respondent has failed to file an
answer to the complaint.'
On May 6, 1980, counsel for the General Coun-
sel filed directly with the Board a Motion for Sum-
mary Judgment based on Respondent's failure to
file an answer as required by Section 102.20 of the
National Labor Relations Board Rules and Regula-
tions, Series 8, as amended. Subsequently, on May
12, 1980, the Board issued an order transferring the
proceeding to the Board and a Notice To Show
Cause why the General Counsel's Motion for Sum-
mary Judgment should not be granted. On May 19,
1980, Respondent filed a response to the Notice To
Show Cause. 2
Pursuant to the provisions of Section 3(b) of the
National Labor Relations Act, as amended, the Na-
I Respondent's only responses to the complaint were three letters to
the Regional Office, dated April 18. 1980. May 2. 1980, and May 5, 1980.
The April 18 letter contends that "a contract is not warranted" since "for
quite sometime we have had only two people working here and at the
present time we are antisipating [sic] closing in May " The May 2 and 5
letters contend that "there is no necessity for signing a contract" since
"for quite sometime there has [sic] been only two people employed here
and at this writing we now employee [sic] one person as a porter and we
are contemplating closing the end of the month."
Insofar as these letters purport to be answers to the complaint. we find
they are inadequate and do not comply with the requirements of Sec.
102.20 of the Board's Rules and Regulations in that they do not specifi-
cally admit. deny. or explain each of the allegations of the complaint
Even assuming. arguendo, that Respondent's letters constitute a proper
answer. they admit facts which establish a violation and raise only mat-
ters which may more appropriately be resolved at the compliance stage
of these proceedings.
2 The response consisted solely of a letter which contended that "the
signing of a new contract at this time is not warranted" based on the
aforementioned three letters to the Regional Office which Respondent at-
tached to its response.
250 NLRB No. 153
tional Labor Relations Board has delegated its au-
thority in this proceeding to a three-member panel.
Upon the entire record in this proceeding, the
Board makes the following:
Ruling on the Motion for Summary Judgment
Section 102.20 of the Board's Rules and Regula-
tions, Series 8, as amended, provides:
The respondent shall, within 10 days from the
service of the complaint, file an answer there-
to. The respondent shall specifically admit,
deny, or explain each of the facts alleged in
the complaint, unless the respondent is without
knowledge, in which case the respondent shall
so state, such statement operating as a denial.
All allegations in the complaint, if no answer
is filed, or any allegation in the complaint not
specifically denied or explained in an answer
filed, unless the respondent shall state in the
answer that he is without knowledge, shall be
deemed to be admitted to be true and shall be
so found by the Board, unless good cause to
the contrary is shown.
The complaint and notice of hearing served on
Respondent herein specifically states that unless an
answer to the complaint is filed within 10 days of
service "all the allegations in the Complaint shall
be deemed to be admitted by [Respondent] to be
true and may be so found by the Board." Further,
according to the Motion for Summary Judgment,
Respondent was advised by a registered letter
dated April 14, 1980, that it had failed to file an
answer and that summary judgment would be
sought herein unless an answer to the complaint
was filed by April 24, 1980. As noted above, no
answer to the complaint has been received to date
from Respondent.
In its response to the Notice To Show Cause,
Respondent states only that "the signing of a new
contract at this time is not warranted." This re-
sponse to the Notice To Show Cause does not
deny the commission of any unfair labor practices
by Respondent, and, therefore, the allegations of
the complaint stand uncontroverted. Nor does the
responses explain why Respondent failed to contact
the Regional Office concerning an answer or an ex-
tension of time for filing an answer. Accordingly,
we find that the response to the Notice To Show
Cause does not constitute good cause for Respond-
ent's failure to file a proper answer within the
meaning of Section 102.20 of the Board's Rules and
Regulations. 3
:' In this regard. see Worl/d Serviccr Corporalion and/or Peggs Run Coal
Companv; and World Servicev Corporationl 247 NL RH No 201 (19O8I0
Conlinlu'd
1255
DECISIONS OF NATIONAL LABOR RELATIONS BOARD
Therefore, as Respondent has not filed an answer
acceptable under the Board's Rules and Regula-
tions within 10 days from the service of the com-
plaint, or within the extended time afforded it by
the Regional Director, and as no good cause for its
failure to do so has been shown, in accordance
with the rule set forth above, the allegations of the
complaint are deemed to be admitted to be true
and are so found to be true. Accordingly, we grant
the General Counsel's Motion for Summary Judg-
ment.
On the basis of the entire record, the Board
makes the following:
FINDINGS OF FACT
I. THE BUSINESS OF RESPONDENT
At all times material herein, Respondent, a New
York Corporation, with its principal office and
place of business at 63-65 Hope Street, Brooklyn,
New York, herein called the Brooklyn plant, has
been engaged in the manufacture, sale, and distri-
bution of phonograph parts and related products.
During the 12 months preceding the issuance of the
instant complaint, a representative period, Re-
spondent, in the course and conduct of its business,
purchased and caused to be transported and deliv-
ered to its Brooklyn plant goods and materials
valued in excess of $50,000, of which goods and
materials valued in excess of $50,000 were shipped
and delivered to its Brooklyn plant in interstate
commerce directly from suppliers located outside
the State of New York.
We find, on the basis of the foregoing, that Re-
spondent is, and has been at all times material
herein, an employer engaged in commerce within
the meaning of Section 2(6) and (7) of the Act, and
that it will effectuate the policies of the Act to
assert jurisdiction herein.
II. THE LABOR ORGANIZATION INVOLVED
Leather Goods, Plastics, Handbags and Novelty
Workers Union, Local 1, AFL-CIO, is a labor or-
ganization within the meaning of Section 2(5) of
the Act.
II. THE UNFAIR LABOR PRACTICES
A. The Unit
The following employees of Respondent consti-
tute a unit appropriate for collective-bargaining
purposes within the meaning of Section 9(b) of the
Act:
Evans Express Company, Inc. and Intercontinental Systems. Inc., 232
NLRB 655, 656 (1977); The Monroe Furniture Company, Inc., 231 NLRB
143 (1977).
All production, maintenance, receiving,
shipping, packing, warehouse and assembly
employees of Respondent employed at its
Brooklyn plant exclusive of all guards and su-
pervisors as defined in Section 2(11) of the
Act.
B. The Union's Representative Status
At all times material the Union has represented a
majority of the employees of Respondent in said
unit, and, by virtue of Section 9(a) of the Act, the
Union has been and continues to be their repre-
sentative for the purpose of collective bargaining
with Respondent.
C. The Request and Refusal To Bargain
From March 5, 1976, through March 5, 1979,
Respondent and the Union were parties to a collec-
tive-bargaining agreement covering the wages,
hours, and working conditions of the unit employ-
ees. Commencing on or about January 12, 1979,
and at various dates thereafter, the Union requested
Respondent to bargain collectively with it as the
exclusive collective-bargaining representative of all
the employees in the above-described unit concern-
ing a new collective-bargaining agreement to suc-
ceed the one expiring March 5, 1979. Commencing
about 6 months prior to the filing of the instant
charge, until in or around January 1980, Respond-
ent refused to bargain with the Union as the exclu-
sive representative for collective bargaining of all
employees in said unit.
In or around November 1979, and at various
times thereafter until in or around mid-January
1980, Respondent negotiated with the Union in bad
faith, and with no intention to enter into any final
or binding collective-bargaining agreement with
the Union.
In or about mid-January 1980, Respondent nego-
tiated with the Union and reached agreement upon
the terms and conditions of a new collective-bar-
gaining agreement covering rates of pay, wages,
hours of employment, and other terms and condi-
tions of employment of Respondent's employees in
the above-described unit. On or about January 15,
1980, the Union requested Respondent to execute
and give effect to the aforementioned collective-
bargaining agreement. Commencing on or about
January 15, 1980, and continuing at all times there-
after to date, Respondent has failed and refused,
and continues to fail and refuse, to execute and
give effect to the said collective-bargaining agree-
ment to which it had orally agreed, although re-
quested to do so by the Union.
Accordingly, we find that Respondent, since on
or about 6 months prior to the filing of the instant
1256
VARCO PHONO PARTS CORP.
charge until in or around mid-January 1980, re-
fused to bargain collectively and in good faith with
the Union as the exclusive representative of the
employes in the appropriate unit, and since on or
about January 15, 1980, and at all times thereafter,
has failed and refused to execute and give effect to
the aforesaid collective-bargaining agreement. We
conclude that, by such conduct, Respondent has
engaged in and is engaging in unfair labor practices
within the meaning of Section 8(a)(5) and (1) of the
Act.
IV. THE EFFECT OF THE UNFAIR LABOR
PRACTICES UPON COMMMERCE
The activities of Respondent set forth in section
III, above, occurring in connection with its oper-
ations described in section I, above, have a close,
intimate, and substantial relationship to trade, traf-
fic, and commerce among the several States and
tend to lead to labor disputes burdening and ob-
structing commerce and the free flow of com-
merce.
V. THE REMEDY
Having found that Respondent has engaged in
and is engaging in unfair labor practices within the
meaning of Section 8(a)(5) and (1) of the Act, we
shall order that it cease and desist therefrom, and
take affirmative action designed to effectuate the
policies of the Act.4
We have found that Respondent, since on or
about 6 months prior to the filing of the instant
charge until in or around mid-January 1980, re-
fused to bargain collectivley and in good faith with
the Union. We shall order that Respondent, upon
request, bargain collectively and in good faith with
the Union as the exclusive representative of all em-
ployees in the appropriate unit.
We have found that Respondent, since on or
about January 15, 1980, and at all times thereafter,
has failed and refused to execute and give effect to
the aforesaid agreement reached with the Union in
or about mid-January 1980. We shall order that Re-
spondent, upon request, execute said collective-bar-
gaining agreement and give effect to its terms and
provisions retroactively to its effective date. We
shall also order that Respondent make the employ-
ees whole for any loss of wages or benefits they
may have suffered as a result of Respondent's fail-
ure to execute and implement the agreement, with
interest thereon to be computed in the manner pre-
4In his Motion for Summary Judgment the General Counsel requests.
in addition to the usual remedies for the violations alleged, that Respond-
ent be required to mail to the Union a signed copy of the notice. In the
absence of any reason offered for granting this requested remedy, we
shall grant only the usual remedies for the violations found.
scribed in Florida Steel Corporation, 231 NLRB 651
(1977). 5
The Board, upon the basis of the foregoing facts
and the entire record, makes the following:
CONCLUSIONS OF LAW
1. Varco Phono Parts Corp. is an employer en-
gaged in commerce within the meaning of Section
2(6) and (7) of the Act.
2. Leather Goods, Plastics, Handbags and Novel-
ty Workers Union, Local 1, AFL-CIO, is a labor
organization within the meaning of Section 2(5) of
the Act.
3. All production, maintenance, receiving, ship-
ping, packing, warehouse and assembly employees
of Respondent employed at its Brooklyn plant, ex-
clusive of all guards and supervisors as defined in
Section 2(11) of the Act, constitute a unit appropri-
ate for the purposes of collective bargaining within
the meaning of Section 9(b) of the Act.
4. At all times material herein the Union has
been the exclusive bargaining representative of the
employees in the aforesaid appropriate unit for the
purpose of collective bargaining within the mean-
ing of Section 9(a) of the Act.
5. By refusing since on or about 6 months prior
to the filing of the instant charge until in or around
mid-January 1980 to bargain collectively and in
good faith with the Union as the exclusive bargain-
ing representative of all the employees of Respond-
ent in the appropriate unit, Respondent has en-
gaged in and is engaging in unfair labor practices
within the meaning of Section 8(a)(5) of the Act.
6. By failing and refusing since on or about Janu-
ary 15, 1980, to execute and give effect to the col-
lective-bargaining agreement with the Union which
was agreed upon in or about mid-January 1980,
and presented to Respondent for signature on or
about January 15, 1980, Respondent has engaged in
and is engaging in unfair labor practices within the
meaning of Section 8(a)(5) of the Act.
7. By the aforesaid refusals to bargain collective-
ly and in good faith and to execute and give effect
to the collective-bargaining agreement with the
Union, Respondent has interfered with, restrained,
and coerced, and is interfering with, restraining,
and coercing, employees in the exercise of the
rights guaranteed them in Section 7 of the Act, and
thereby has engaged in and is engaging in unfair
labor practices within the meaning of Section
8(a)(l) of the Act.
8. The aforesaid unfair labor practices are unfair
labor practices affecting commerce within the
meaning of Section 2(6) and (7) of the Act.
I See, generally, Isis Plumbing & Heating Co.. 138 NLRB 716 (1962)
1257
DECISIONS OF NATIONAL LABOR RELATIONS BOARD
ORDER
Pursuant to Section 10(c) of the National Labor
Relations Act, as amended, the National Labor Re-
lations Board hereby orders that the Respondent,
Varco Phono Parts Corp., Brooklyn, New York,
its officers, agents, successors, and assigns, shall:
1. Cease and desist from:
(a) Refusing to bargain collectively and in good
faith concerning rates of pay, wages, hours, and
other terms and conditions of employment with
Leather Goods, Plastics, Handbags and Novelty
Workers Union, Local I, AFL-CIO, as the exclu-
sive bargaining representative of its employees in
the following appropriate unit:
All production, maintenance, receiving, ship-
ping, packing, warehouse and assembly em-
ployees of Respondent employed at its Brook-
lyn plant, exclusive of all guards and supervi-
sors as defined in Section 2(11) of the Act.
(b) Failing and refusing to execute and give ret-
roactive effect to the collective-bargaining agree-
ment with the Union which was agreed upon in or
around mid-January 1980.
(c) In any like or related manner interfering
with, restraining, or coercing employees in the ex-
ercise of the rights guaranteed them in Section 7 of
the Act.
2. Take the following affirmative action which
the Board finds will effectuate the policies of the
Act:
(a) Upon request, bargain collectively and in
good faith with the Union as the exclusive repre-
sentative of all employees in the aforesaid appropri-
ate unit with respect to rates of pay, wages, hours,
and other terms and conditions of employment.
(b) Upon request, execute the collective-bargain-
ing agreement with the Union which was agreed
upon in or about mid-January 1980, and give effect
to its terms and provisions retroactively to its ef-
fective date.
(c) Make whole its employees for their loss of
wages and other employment benefits they may
have suffered by reason of Respondent's failure and
refusal to execute the agreement, plus interest, in
the manner set forth in the section of this Decision
entitled "The Remedy."
(d) Preserve and, upon request, make available to
the Board or its agents, for examination and copy-
ing, all payroll records, social security payment
records, timecards, personnel records and reports,
and all other records necessary to analyze the
amount of backpay due under the terms of this
Order.
(e) Post at its Brooklyn plant, Brooklyn, New
York, copies of the attached notice marked "Ap-
pendix." 6 Copies of said notice, on forms provided
by the Regional Director for Region 29, 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.
(f) Notify the Regional Director for Region 29,
in writing, within 20 days from the date of this
Order, what steps have been taken to comply here-
with.
6 In the event that this Order is enforced by a Judgment of a 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"
APPENDIX
NOTICE To EMPLOYEES
POSTED BY ORDER OF THE
NATIONAL LABOR RELATIONS BOARD
An Agency of the United States Government
WE WILL NOT refuse to bargain collectively
and in good faith concerning rates of pay,
wages, hours, and other terms and conditions
of employment with Leather Goods, Plastics,
Handbags and Novelty Workers Union, Local
1, AFL-CIO, as the exclusive representative
of the employees in the bargaining unit de-
scribed below.
WE WILL NOT fail and refuse to execute and
give retroactive effect to the collective-bar-
gaining agreement with the Union which was
agreed upon in or about mid-January 1980.
WE WILL NOT in any like or related manner
interfere with, restrain, or coerce our employ-
ees in the exercise of the rights guaranteed
them by Section 7 of the Act.
WE WILL, upon request, bargain collectively
and in good faith with the above-named
Union, as the exclusive representative of all
employees in the bargaining unit described
below, with respect to rates of pay, wages,
hours, and other terms and conditions of em-
ployment. The bargaining unit is:
All production, maintenance, receiving,
shipping, packing, warehouse and assembly
employees employed at our Brooklyn plant,
exclusive of all guards and supervisors as de-
fined in Section 2(11) of the Act.
1258
VARCO PHONO PARTS CORP.
WE WILL, upon request, execute the collec-
tive-bargaining agreement with the Union
which was agreed upon in or about mid-Janu-
ary 1980, and WE WILL give effect to its terms
and provisions retroactively to its effective
date.
WE WILL make whole our employees for
their loss of wages and other employment
benefits they may have suffered by reason of
our failure and refusal to sign the agreement,
plus interest.
VARCO PHONO PARTS CORP.
1259