1 - National Labor Relations Board
1 - National Labor Relations Board
1 - National Labor Relations Board
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Enforcement Litigation 125<br />
an appropriate unit within the range of several appropriate<br />
units in a given factual situation," the court noted that the unit<br />
was composed of employees who did similar work under similar<br />
circumstances and was headed by an official who directly controlled<br />
and supervised the day-to-day work of the employees.<br />
The next larger unit available under the employer's organizational<br />
structure would cover a multistate area. The court agreed<br />
with the <strong>Board</strong> that requiring a bargaining unit of this size<br />
would arrest the organizational development of insurance agents<br />
in highly centralized insurance companies and would deny such<br />
employees the "fullest freedom in exercising the rights guaranteed<br />
by the Act," which, under section 9(b) of the Act, the<br />
choice of an appropriate bargaining unit should be designed to<br />
assure. Accordingly, the court concluded that the <strong>Board</strong>'s decision<br />
as to the appropriate unit was within its broad discretion.<br />
However, in Solis Theatre, 15 the Second Circuit rejected the<br />
<strong>Board</strong>'s holding that a unit limited to one theatre in a chain<br />
of movie theatres throughout a metropolitan area was appropriate,<br />
where management functions were handled centrally, the<br />
pattern of unionization of the employer's other employees was<br />
circuitwide, the theatre was centrally located only a short distance<br />
from two of the employer's other theatres, and the local<br />
manager of the theatre had authority only to oversee the daily<br />
activities of the employees of that theatre, with little or no authority<br />
on labor policy, which was determined centrally for the<br />
entire circuit. Pointing out that other courts of appeals had<br />
been "reluctant to sanction bargaining units whose managers<br />
lack the authority to resolve issues which would be the subject<br />
of collective bargaining," the court found no "compelling reason"<br />
in this case which would justify fractionating an otherwise<br />
centrally controlled system of branch units. It therefore set<br />
aside the <strong>Board</strong>'s order directing the employer to bargain with<br />
that unit of employees.<br />
In another case, 16 however, that court sustained the <strong>Board</strong>'s<br />
determination that two separate units, each limited to one of<br />
an insurance company's claims offices, were appropriate. The<br />
court noted that, while final decisions concerning labor relations<br />
matters were made centrally, the supervisor of each claims office<br />
prossessed considerable influence in such decisions, and each<br />
office enjoyed complete control over the processing of the vast<br />
majority of claims. Characterizing the situation in Solis Theatre<br />
"N.L.R.B. v Solis Theatre Corp., 403 F.2d 381.<br />
"Continental Insurance Co. v. N.L.R.B , 409 F.2d 727 ((IA. 2), cert. denied 396 U.S. 902.