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V. PRINCIPLES ESTABLISHEDIn previous annual reports we have outlined the importantprinciples enunciated by the Board during the first 4 years of itsexistence.' No attempt will be made in this chapter to repeat thatmaterial. While referring on occasion to decisions discussed in previousannual reports, we shall devote this chapter to the discussion ofnew principles which were enunciated by the Board in its decisionsissued from July 1, 1939, through June 30, 1940, 2 and the elaborationand extension during this period of the principles already laid downby the Board.For convenience the chapter has been divided into nine sections :A. Interference, restraint, and coercion in the exercise of the rightsguaranteed in section 7 of the Act : This section deals with cases arisingunder section 8 (1) of the Act.B. Encouragement or discouragement of membership in a labororganization by discrimination : This section deals with cases arisingunder section 8 (3) of the Act.C. Collective bargaining : This section deals with cases arisingunder section 8 (5) of the Act.D. Domination and interference with the formation or administrationof a labor organization and contribution of financial or othersupport to it: This section deals with cases arising under section 8(2) of the Act.E. Investigation and certification of representatives : This sectiondeals with proceedings arising under section 9 (c) of the Act. Suchproceedings normally include the taking of secret ballots to determinerepresentatives for the purpose of collective bargaining.F. Adequate proof of majority representation: This section dealswith proof of majority under section 8 (5) and section 9 (c) ofthe Act.G. The unit appropriate for the purposes of collective bargaining :This section is devoted to a discussion of the principles developed bythe Board pursuant to its power under section 9 (b) of the Act todetermine the appropriate unit for collective bargaining. The questionof the appropriate unit is an issue in cases arising both undersection 8 (5) and section 9 (c) of the Act.H. Remedies : This section deals with the remedies which the Boardhas applied, pursuant to section 10 (c) of the Act, in cases in which ithas found that employers have engaged in unfair labor practices.I. Miscellaneous : This section deals with several problems involvingparties, pleading, practice, and procedure before the Board.1 The First Annual Report deals with all decisions issued up to June 30, 1936, reportedin 1 N. L. R. B.; the Second Annual Report deals with all decisions issued up to June 30,1937, reported in 1 and 2 N. L. R. B.; the Third Annual Report deals with all decisionsIssued from July 1, 1937, to June 30, 1938, and reported in 3 to 7 N. L. R. B., inclusive;the Fourth Annual Report deals with all decisions issued by the Board from July 1, 1938,through June 30, 1939, and reported in 8 through 12 N. L. R. B. and the first half of 13N. L. R. B.2 The decisions issued by the Board during this period are reported in 13 through 24N.31
32 FIFTH ANNUAL REPORT OF NATIONAL LABOR RELATIONS BOARDk. INTERFERENCE, RESTRAINT, AND COERCION IN THE EXERCISEOF THE RIGHTS GUARANTEED IN SECTION 7 OF THE ACTSection 7 of the Act provides that—Employees shall have the right to self-organization, to form, join, or assistlabor organizations, to bargain collectively through representatives of their ownchoosing, and to engage in concerted activities, for the purpose of collectivebargaining or other mutual aid or protection.Section 8 (1) of the act makes it an unfair labor practice for an employerto—interfere with, restrain, or coerce employees in the exercise of the rights guaranteedin section 7.As stated in the Third and Fourth Annual Reports 3 the Boardhas consistently held that a violation by an employer of any of thefour subdivisions of section 8 other than subdivision (1) is also aviolation of subdivision (1). Moreover, any other employer activitywhich infringes the rights guaranteed in section 7, although notspecifically described in the Act, is a violation of subdivision (1). Thevarious methods by which employers have interfered with, restrained,or coerced employees in the exercise of the rights guaranteed in theAct are numerous. In our Third and Fourth Annual Reports, we describedthe more significant forms of such activities as we have dealtwith them in our decisions.4During the last fiscal period employers were found to have engagedin such diverse acts of coercion as reporting an employee tothe immigration authorities in order to discourage his continuedunion activity ; 5 instigating a walk-out in order to terminate a contractwith a union ; 6 encouraging civic hostility to unions and unionmembers; 7 offering a contract for life-long employment to an employeeif he remained out of a union; 8 permitting nonunionemployees to manufacture and carry blackjacks in the factory andto evict union members; 9 publicly celebrating the defeat of a unionin collective bargaining elections; 10 campaigning to prevent employeesfrom participating in an election directed by the Board; 11offering to employees stock purchase plans which bound them torefrain from requesting wage increases; 72 instituting a wage increase,3 Third Annual Report at p. 52; Fourth Annual Report at p. 57.*Third Annual Report at pp. 51-65; Fourth Annual Report at pp. 57-60.Matter of Ford Motor Company and United Automobile Workers of America, Local440, 19 N. L. R. B. No. 79.Ma t ter of Highland Shoe Co. Ino. and United Shoe Workers of America, 23 N. L. R. B.,No. 23.' Matter of J. Klotz ct Co. and Joint Board of Suitcase, Bag, if Portfolio Workers' Union,A. F. of L., 13 N. L. R. B. 746.Matter of Aronsson Printing Company and Detroit Printing Pressmen's it Assistants'Union No. 2, and Detroit Bindery Workers Union No. 20, and Detroit Typographical UnionNo. 18, 13 N. L. R. B. 799.° Matter of General Motors Corporation et al. and International Union, etc., 14N. L. R. B. 1i3; cf. Matter of Goodyear Tire it Rubber Company of Alabama and UnitedRubber Workers of America, 21 N. L. R. B., No. 33; Matter of Donnelly Garment Companyand International Ladies' garment Workers Union and Donnelly Garment Workers Union,Party to the Contract, 21 N. L. R. B., No. 24.10 Matter of Federal Mining CC Smelting Company, etc., and Mullan Local No. 9, etc.,20 N. L. R. B., No. i7; Matter of Atlas Powder Company and District No. 50, United MineWorkera of America, etc., 15 N. L. R. B. 912.11 Matter of New York Handkerchief Manufacturing Company and International Ladies'Garment Workers' Union, Local No. 76, 16 N. L. R. B. 532, mod, on another issue andenf'd in New York Handkerchief Manufacturing Company v. N. L. R. B., July 11, 1940(C. C. A. 7)." Matter of Vincennes Steel Corporation and International Association, etc., 17N. L. R. B. 825.
Page 3 and 4: NATIONAL LABOR RELATIONS BOARDWILLI
Page 6 and 7: CONTENTSPageI. Introduction 1A. Wor
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Page 10 and 11: I. INTRODUCTIONThe number of worker
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VI. JURISDICTIONThe decisions of th
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IX. DIVISION OF ECONOMIC RESEARCH 1
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XII. FISCAL STATEMENTThe expenditur
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