Opinion ID: 772572
Heading Depth: 2
Heading Rank: 1

Heading: The Written Warnings Issued to Lewis and Sharp

Text: 52 The ALJ based his finding that the written warnings to Lewis and Sharp violated section 8(a)(3) and, derivatively, section 8(a)(1), on circumstantial evidence that Valmont disciplined Lewis and Sharp because of their known previous support for the union and the belief that they were talking about the union on July 28. The ALJ specifically relied on three categories of circumstantial evidence: 1) evidence showing that Valmont gave inconsistent reasons for issuing the warning to Lewis; 2) evidence showing that Valmont failed to conduct a meaningful investigation before issuing the warnings; and 3) evidence that the warnings were more severe discipline than Valmont had issued to other employees for conduct similar to the alleged offenses. The issue is whether substantial evidence from the record as a whole supports the finding that Valmont was motivated by antiunion animus. 53 In analyzing the alleged section 8(a)(3) violation, the ALJ applied the burden-shifting analysis set out in Wright Line, 251 N.L.R.B. 1083 (1980), enf'd. 662 F.2d 899 (1st Cir. 1981). The General Counsel of the NLRB must prove, by a preponderance of the evidence, that antiunion animus was a substantial factor in the employer's decision to discipline the employee. 2 See Thermon Heat, 143 F.3d at 186; Asarco, 86 F.3d at 1408; NLRB v. Mini-Togs, Inc., 980 F.3d 1027, 1032-33 (5th Cir. 1993). Once the General Counsel makes the required showing, the burden shifts to the employer to prove by a preponderance of the evidence that it would have discharged or disciplined the employee even if the employee had not engaged in union activity. See Thermon Heat, 143 F.3d at 186; Asarco, 86 F.3d at 1408. Put another way, if the General Counsel proves that antiunion animus was a motivating factor in an employer's decision to discharge or discipline an employee, the burden shifts to the employer to prove that the employee would have been disciplined in any event, for a valid reason. 54 Overt direct evidence of an unlawful motive is not a prerequisite to a finding that disciplinary action resulted therefrom. See NLRB v. Esco Elevators, Inc., 736 F.2d 295, 300 (5th Cir. 1984). Circumstantial evidence of discriminatory animus may be sufficient. See id. Courts have found a variety of factors to be probative of antiunion animus in employee discipline cases, including: the timing of the employer's action in relationship to union activity, see Adco, 6 F.3d 1110; Jet Star, Inc. v. NLRB, 209 F.3d 671, 676-77 (7th Cir. 2000); Cumberland Farms, Inc. v. NLRB, 984 F.2d 556, 560 (1st Cir. 1993); the presence of other unfair labor practices, see NLRB v. Advance Transportation Co., 976 F.2d 569; the failure to investigate the conduct alleged as the basis for the discipline, see Esco Elevators, 736 F.2d at 299 n.5; disparate treatment of the disciplined employee or discipline that deviates from the employer's past disciplinary practice, see Marshall Durbin Poultry Co. v. NLRB, 39 F.3d 1312, 1321 (5th Cir. 1994); the implausibility of the employer's explanation of its action, see id.; Union-Tribune Publishing Co. v. NLRB, 1 F.3d 486 (7th Cir. 1993); inconsistencies between the employer's proffered reason for the discipline and other actions of that employer, NLRB v. General Fabrications Corp., 222 F.3d 218, 226 (6th Cir. 2000); and the seriousness of the alleged violation, see Presbyterian/St. Luke's Medical Center v. NLRB, 723 F.2d 1468, 1478 (10th Cir. 1983). 55 This case presented no direct evidence of antiunion animus. There is no history of antiunion statements or a background of ongoing union hostility. The strongest form of circumstantial evidence, proximity in time between union activity and employee discipline, is missing. The union election ended in September 1996, ten months earlier. The ALJ noted the absence of evidence that on August 1, the date of Lewis's discipline, or on August 5, the date of Sharp's discipline, Valmont knew that the union had begun a second organizational effort in which Lewis and Sharp were involved. 56 The ALJ noted that the timing of the warnings in relation to the beginning of the union's second campaign was suspicious. However, the ALJ did not rely on this proximity in time as any evidence of antiunion discrimination. The record supports this approach. The record evidence showed that the first in-plant evidence of a new union organizational effort appeared on approximately August 10, several days after Valmont issued the warnings. There is no other evidence that Valmont knew of the second organizational effort before then. 57 Noting the lack of evidence that Valmont knew of the resumption of union activity on August 1, the ALJ relied on the evidence that in April or May 1997, months after the 1996 election had ended, Abney had orally counseled Lewis against soliciting his coworkers, to prove that Valmont management believed that Lewis and Sharp were talking about the union on July 28. However, the ALJ rejected this same evidence when Valmont offered it to show a good faith belief that Lewis was continuing to talk to other employees on nonwork subjects, ignoring recent warnings to stop such conduct. This inconsistent treatment diminishes the deference to which the ALJ's finding is entitled. See Asarco, 86 F.3d at 1406. 58 An ALJ may not rest its entire decision that antiunion animus motivated an employee's discipline on a finding that the employer gave a pretextual reason for its action. See, e.g., Union-Tribune Publishing Co., 1 F.3d 486; Goldtex, Inc., 14 F.3d at 1011 (evidence of pretext does not enter the picture until some evidence of a discriminatory discharge has been brought forward.). Discrediting the employer's stated reason for disciplinary action can lead a factfinder to infer that there is another motive [and that] the motive is one that the employer desires to conceal--an unlawful motive--at least where, as in this case, the surrounding facts tend to reinforce that inference. Shattuck Denn Mining Corp. (Iron King Branch) v. NLRB, 362 F.2d 466, 470 (9th Cir. 1966); see also Jet Star, 209 F.3d at 678; Laro Maintenance Corp. v. NLRB, 56 F.3d 224, 230 (D.C. Cir. 1995). However, [a] finding of pretext, standing alone, does not support a conclusion that [discipline] was improperly motivated, absent other evidence of animus. Union-Tribune Publishing Co., 1 F.3d at 491. In this case, the ALJ gave inconsistent treatment to the evidence that contributed to the finding of pretext. This first category of evidence, even under deferential review, is not sufficient to support a finding of antiunion animus. 59 The ALJ and Board also relied on evidence that Valmont did not investigate whether Lewis and Sharp might have been talking about a work-related matter - which would not have violated any rule - until after issuing the warnings. The dissenting panel member found the absence of a meaningful investigation irrelevant because the Act does not compel an employer to have a 'meaningful investigation' of suspected misconduct. The cases hold that absence of a meaningful investigation into allegedly impermissible conduct before imposing discipline is an accepted form of circumstantial evidence of antiunion animus. See Esco Elevators, 736 F.2d at 299 n.5 (A one-sided investigation into employee misconduct supplies significant evidence that disciplinary action was triggered by an unlawful motive.); NLRB v. Big Three Indus., Inc., 497 F.2d 43, 50 (5th Cir. 1974) (holding that it was of some relevance that the employee was not afforded a reasonable opportunity to explain the full circumstances of what occurred). In this case, the credited evidence showed that Valmont gave Lewis no chance to explain and Valmont did not try to verify Sharp's explanation until after issuing the warnings. 60 Valmont argues that it reasonably relied on Gregg's and Dotson's statements in concluding that Sharp and Lewis had not talked about work-related matters. Valmont points to Dotson's testimony that he prepared his written statement on his own, on July 28, and gave it to his supervisor on the same day. However, the ALJ found that the credited evidence established that Dotson did not prepare his written statement until asked to do so on August 6, 1997. There is substantial evidence to support the ALJ's choice to discredit Dotson's testimony that he prepared and submitted a written statement on the day of the incident, rather than a week later, and this court defers to that credibility choice. See Asarco, 86 F.3d at 1406; Advance Transportation, 979 F.2d at 572. 61 Valmont also asserts that the ALJ and the Board inconsistently discounted Dotson's and Gregg's estimate of the time and length of the conversation they observed, while crediting Lewis's and Sharp's testimony on the same subjects. This argument ignores the fact that Dotson and Gregg both testified that they did not look at a clock or watch, had no basis for estimating the time, and could not explain how they were able to submit written statements that gave a definite time for the conversation between Lewis and Sharp. By contrast, Sharp consistently testified that he knew precisely what time he talked with Lewis, because he looked at his watch to record the time, as required on the maintenance request form. The ALJ found that Gregg's and Dotson's statements as to the time and length of the conversation they witnessed were unreliable and conflicted with their testimony. There is sufficient evidence to support the ALJ's choice to believe Lewis and Sharp over Dotson and Gregg. See Asarco, 86 F.3d at 1406; Advance Transportation, 979 F.2d at 573 (The law is clear: Where there are two materially conflicting versions of the same incident, an ALJ's credibility determinations are entitled to deference.). 62 Valmont's contention that the ALJ erred in finding that Valmont failed to conduct a meaningful investigation before issuing the warnings depends on a rejection of the ALJ's credibility judgments. The court must defer to these judgments. This second category of circumstantial evidence does give some support to the Board's finding that Valmont issued the warnings because of antiunion animus. 63 Valmont argues in its brief that the undisputed fact that Sharp had no reason to be in Lewis's work area or to talk with Lewis on work matters in the course of their regular duties made it reasonable for Valmont to believe that Lewis and Sharp were not talking about work. The ALJ found that even if Valmont reasonably, but mistakenly, believed that Lewis and Sharp were having a personal conversation, the discipline it imposed was more severe than that imposed on other employees engaged in similar conduct. Valmont challenges the ALJ's and Board's findings that the discipline was disparate. 64 The ALJ examined Valmont's records and found no evidence that any employee has ever been warned for loafing when engaging in a work related conversation. That is correct, but it does not apply if Valmont did reasonably believe that Lewis and Sharp were not talking about a work-related subject. 65 The evidence showed that before August 1, 1997, Valmont disciplined other employees for loafing or distracting others by engaging in nonwork-related conversations. In one case, the employee received a verbal warning for distracting other employees by having nonwork-related conversations, and then committed three subsequent similar infractions before receiving a written corrective action. The evidence shows that at least two other employees received warnings for loafing prior to August 1997. One employee received a written warning, as his first discipline, for loafing and insubordination; one employee received a verbal warning for loafing and low quality work. Two employees received warnings for loafing shortly after August 1997. In one case, the offending employee was observed not working at various times during a day, including ten minutes spent at a picnic table. This employee received a verbal counsel that included the warning that any other offense of this nature could result in his termination. In the other case, the employee had stated that he was killing time when his leadman observed him not working and asked him what he was doing. This employee received a final written notice. 66 The ALJ relied heavily on a finding of disparate discipline to show antiunion animus. However, the ALJ's analysis is again inconsistent. The ALJ credited the evidence that Abney had orally counseled Lewis in April or May 1997 for soliciting other employees, for the purpose of showing that Valmont believed that Lewis and Sharp were again talking about union activities on July 28. However, the ALJ rejected this evidence for the purpose of showing that Valmont issued Lewis the final warning on August 1 because he was continuing misconduct for which he had been recently warned. If this evidence of 1997 oral counseling is credited, then the August 1 discipline was for repeated recent misconduct and is not disparate from other discipline disclosed in the record. If the evidence is not credited, then the disparate discipline evidence is stronger, but the evidence of antiunion animus as a motivating factor is diminished. 67 The ALJ also relied on evidence that Valmont's plant manager and human resources manager had incorrectly applied the no-solicitation rule to prohibit soliciting in any work area, even on nonworking time. However, there is no evidence in the record that Valmont applied this approach to union soliciting but not to other forms of soliciting. This evidence might support an independent section 8(a)(1) violation, but not a section 8(a)(3) violation. 68 The Board cites cases to support the ALJ's reliance on circumstantial evidence to find antiunion animus. These cases present much stronger evidence of antiunion animus than is present in this record. Most of the cases involved very close timing between union activities and the employee discipline, a background of ongoing union hostility, or explicitly antiunion comments. These factors are conspicuously absent in this case. See, e.g., Adco, 6 F.3d at 1113, 1116-17 (observing that Adco is adamantly anti-union and noting that the employer admittedly fired one employee for soliciting, an unlawful reason under the Act); Esco Elevators, 736 F.2d at 299 n. 5 (record also disclosed explicitly antiunion statements, which, combined with the absence of investigation into the occurrence used to justify discharging the union president, supplied significant evidence of an unlawful motive); Big Three Indus., 497 F.2d at 51 (failure to investigate an incident which led to an employee's discharge, combined with the fact that at the time of the employee's discharge, the company was in the midst of vigorously contested union negotiations, supported Board's finding of unfair labor practice). 69 Other recent decisions relying on circumstantial evidence of discriminatory motive also involve a context of ongoing union hostility not present in this record. For example, in Dorsey Trailers, Inc. v. NLRB, 233 F.3d 831 (4th Cir. Dec. 1, 2000) (no page references available), a company facing an imminent strike had moved its plant operations to a different state. The company had refused to bargain with the union, a supervisor had made repeated threats that the company would close the plant if the employees voted to strike, the company refused to reinstate union members immediately after their unconditional offer to return to work, the company created the impression of surveillance, and the company unilaterally instituted a new attendance policy in violation of the collective bargaining agreement. 3 Similarly, in General Fabrications Corp., 222 F.3d at 226, the court inferred antiunion animus from the facts that the employee's supervisor gave false testimony, the company undertook no meaningful investigation into the employee's work record, the employee was not warned or previously disciplined for the offense for which he was terminated, and the company's general manager had previously made antiunion remarks. Id. 70 Valmont had no history of violations of the Act. The union election had occurred in September 1996. The ALJ did not rely on, and the evidence did not establish, temporal proximity between the union's resumption of activity in late July 1997 and Valmont's issuance of the warnings to Lewis and Sharp. One of the strongest forms of circumstantial evidence - the link of timing - is missing. 71 In summary, there is some credited circumstantial evidence that might suggest an improper motive behind the warnings issued to Lewis and Sharp, particularly the evidence as to how Valmont handled the investigation. However, absent evidence of a connection between the resumption of union activity and the warnings, the evidence of antiunion animus as a motivating factor is simply not substantial. The evidence of Valmont's antiunion animus does not approach the nature or quantity of evidence in other cases finding a section 8(a)(3) violation. This court denies enforcement of the Board's order as to the warnings issued to Lewis and Sharp. 72