Court of Appeals for the Second Circuit

National Labor Relations Board v. Lizdale Knitting Mills, Inc.

1975 U.S. App. LEXIS 12586 · 523 F.2d 978 · 90 L.R.R.M. (BNA) 3341

September 26, 1975 · Docket 26, Docket 74-2557

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Headnotes

Generated summaries
  1. Headnote 1

    The Board ordered Lizdale Knitting Mills to rehire the four discharged workers with back pay, finding that their terminations were motivated by union‑organizing activity and thus violated § 8(a)(1).

  2. Headnote 2

    The Court concluded that Lizdale’s claim of theft was a pretext, because the dismissals occurred shortly after union activity and were accompanied by anti‑union statements by the president.

  3. Headnote 3

    The hearing examiner found that company officers looking out the second‑floor office window could see the employees standing within two feet of the stairway, thereby giving the employer knowledge of the authorization‑card distribution.

  4. Headnote 4

    Lizdale argued that the Board’s refusal to release affidavits prejudiced it, but the Court held that pre‑trial discovery in NLRB proceedings is neither constitutionally nor statutorily required.

  5. Headnote 5

    The Second Circuit affirmed the Board’s enforcement order because the record contained substantial evidence that the dismissals were motivated by anti‑union animus.

  6. Headnote 6

    The Ceballos group was fired two days after distributing union cards. The company asserted theft, but the court found the justification a pretext for anti‑union hostility, citing the Board’s finding and Milco precedent.

  7. Headnote 7

    Company officers looked out the second‑floor office window while the employees stood near the exterior staircase distributing cards. Geometry analysis showed a person standing one foot in front of the stairs would be visible, establishing employer knowledge.

  8. Headnote 8

    Lizdale argued that the Board’s refusal to release witness affidavits prejudiced it. The court held that pre‑trial discovery in NLRB proceedings is neither constitutionally nor statutorily mandated, relying on Interboro Contractors and National Survey Service precedent.

  9. Headnote 9

    The appellate court reviewed the Board’s enforcement order and, finding substantial evidence in the record and proper procedures, affirmed the order.

  10. Headnote 10

    The enforcement order required Lizdale to rehire the four discharged employees with back pay because their terminations were found to be motivated by union activity.

  11. Headnote 11

    The Board found that the company’s justification of theft was a pretext for anti‑union hostility, and the Court upheld the finding of substantial evidence supporting that conclusion.

  12. Headnote 12

    Officers looking out the second‑floor office window could see the employees standing near the stairway, and the Court affirmed that this visibility gave the company knowledge of the union solicitation.

  13. Headnote 13

    The Court relied on precedent that pre‑trial discovery in NLRB hearings is neither constitutionally nor statutorily mandated, noting the Board’s procedures are designed to prevent intimidation.

  14. Headnote 14

    The Court found substantial evidence supporting the Board’s decision to order reinstatement and back pay, satisfying the appellate standard of review.

  15. Headnote 15

    The Board’s June 25, 1974 order mandated that Lizdale Knitting Mills cease anti‑union actions, rehire the four terminated workers, and provide back pay; the Court affirmed this remedial relief.

  16. Headnote 16

    The Board found the company’s assertion that the four workers were fired for theft to be a pretext, and relied on Milco to conclude that the discharge was motivated by anti‑union animus.

  17. Headnote 17

    The hearing examiner found that company officers looking out the second‑floor window could see the workers standing at the foot of the staircase, and the Court affirmed that observation gave the employer knowledge of the union activity.

  18. Headnote 18

    The Court referenced its recent holding that pre‑trial discovery in NLRB proceedings is neither constitutionally nor statutorily required, citing Interboro Contractors and National Survey Service.

  19. Headnote 19

    The appellate court noted that it found “substantial evidence” in the record supporting the Board’s decision and therefore affirmed the enforcement order.

  20. Headnote 20

    The Board’s order required Lizdale to cease discouraging unionization and to rehire the four workers dismissed because of their union sympathies, reflecting the statutory prohibition.

  21. Headnote 21

    The Board found that the company’s stated theft motive was a pretext for dismissing workers who had handled union authorization cards, and affirmed the order requiring reinstatement.

  22. Headnote 22

    The court held that the company’s theft accusation was a mere cover for anti‑union hostility, rendering the dismissals unlawful under the NLRA.

  23. Headnote 23

    Officers looking out the second‑floor office window could see the employees distributing cards on the staircase, establishing the employer’s knowledge of the protected conduct.

  24. Headnote 24

    The hearing examiner’s observation and geometric analysis showed that an average person standing one foot in front of the stairs would be visible to the office window.

  25. Headnote 25

    The court noted prior holdings that pre‑trial discovery in NLRB proceedings is neither constitutionally nor statutorily required, and that the Board’s procedures aim to prevent intimidation.

  26. Headnote 26

    The appellate court found substantial evidence supporting the Board’s decision to require reinstatement and back pay, satisfying the statutory standard of review.

  27. Headnote 27

    The Board’s order mandated that Lizlane rehire the four workers and provide back pay for the period of unlawful discharge.

Opinion

PER CURIAM:

The N.L.R.B. has petitioned for enforcement of its order of June 25, 1974, 211 N.L.R.B. No. Ill, one member dissenting, requiring Lizdale Knitting Mills, Inc. to cease and desist from its efforts to discourage the unionization of its knitted goods plant located in Glendale, New York. Affirmatively, the Board insisted that Lizdale rehire, with back pay, four employees discharged because of their union sympathies. Upon careful review of the record and with due consideration for the contrary opinion of member Kennedy, we find substantial evidence to support the Board’s decision and, accordingly, we grant enforcement.

On May 29, 1973, organizers for the Knitgoods Workers Union, Local 155 (the Union) went to respondent’s plant to distribute authorization cards as a prelude to seeking a representation election. According to their testimony, they stationed themselves approximately three feet from the foot of a covered, exterior staircase leading to the Lizdale factory. After finishing their day’s work, the four dischargees (hereinafter the Ceballos group) 1 came down the staircase, took the proffered authorization cards and, while standing “very close” to the Union organizers engaged in conversation with them. The Ceballos allege, and the hearing examiner found, that they were observed in this activity by Company officers looking out of the main office window on the second floor of the building.

The following morning, the Ceballos group began to distribute among their co-workers extra authorization cards which they had received. At lunchtime, they were approached by Supervisor Herskovitz who informed them that the continuation of such activities would lead to their dismissal. 2 On May 31, they were, in fact, fired.

Four days thereafter, accompanied by Union personnel, the Ceballos group went back to the factory to request their reemployment. A disturbance ensued, the genesis of which is unclear in the record, and the Union officials were asked to leaye. Before their departure they were told by Hyman Gelbord, president of Lizdale, that he would close down the shop rather than “accept the Union.”

The Company contends that it was unaware of the union sympathies and activities of the Ceballos group who, it maintains, were fired only because they were suspected of having committed various thefts. 3 The discharges took place on May 31, two days after the Union began its organizational campaign. The missing merchandise was first discovered months earlier, in March 1973. Under these circumstances, we agree with the hearing examiner that the Company’s defense of dismissal for cause can only be characterized as pretextual. See N. L. R. B. v. Milco Inc., 388 F.2d 133 (1968). We are reinforced in this conclusion by the anti-union animus displayed by Lizdale’s president when confronted with a demand for reinstatement.

The Company further argues that its officers could not have seen the Ceballos group in conversation with the Union organizers as the Board alleges, because the roof covering the outside staircase at the base of which they were talking, effectively blocked their view. After a visit to the site by both counsel and the hearing examiner, it was agreed that one looking out the office window could see to a point two feet in front of the staircase. We agree with the inference of the hearing examiner, based upon his personal observation and the principles of Euclidean geometry, that the face of an average sized individual standing one foot in front of the stairs would therefore be visible. Abellardo Ceballos testified that that was approximately the position in which he and the others were standing and that, upon looking up, his view of the office window was unobstructed. In any case, the action of the Ceballos group in distributing authorization cards adequately revealed to the Company their pro-Union stance. 4

Finally, respondent complains that it was prejudiced by the Board’s refusal to release the affidavits of witnesses prior to their testimony at the unfair labor practice hearing. We have recently held that pretrial discovery in N.L.R.B. proceedings is neither constitutionally nor statutorily required. N. L. R. B. v. Interboro Contractors, Inc., 432 F.2d 854 (2d Cir. 1970). The Board’s procedures are reasonably designed to forestall such intimidation and harassment as would otherwise be possible because of the leverage inherent in the employer-employee relationship. N. L. R. B. v. National Survey Service, Inc., 361 F.2d 199, 206 (7th Cir. 1966).

Enforcement granted.

. . The four employees are Abellardo Ceballos, Marta Guerrero and Eucaris Ceballos, his sisters, and Luz Maria Villada, his girlfriend.

. . Abellardo Ceballos testified that this message was transmitted to him in English by Supervisor Herskovitz and that he then translated it into Spanish for the other workers, who corroborate his story. Herskovitz denied making any statement.

. . When the Ceballos group demanded to know the reason for their dismissal, they were originally told that it was because of a lack of work. The Company now concedes that this was a fabrication motivated assertédly by their fear of a slander suit if their real suspicions were articulated and proved unfounded.

. . Supervisor Herskovitz gave to the Company president several unsigned authorization cards which had been distributed by the Ceballos group and which she had collected from other employees.