Legal Document

416 U.S. 267 94 Supreme Court Reporter 1757 40 United States Reports Lawyer’s Edition 2d Series KF101.8 U54 134 NATIONAL LABOR RELATIONS BOARD, Petitioner,v.BELL AEROSPACE COMPANY DIVISION OF TEXTRON INC. Number 72—1598. Argued Jan. 14, 1974. Decided April 23, Syllabus On a petition by labor union for representation election, the National Labor Relations Board (NLRB) held that buyers employed respondent company constituted an appropriate collective-bargaining unit and directed election. The NLRB stated even though might be 'managerial employees' they were nevertheless covered Act (NLRA) in absence of any showing organization would create conflict interest relations. Subsequently voted union, certified it as their exclusive bargaining representative. refused to bargain, however, was found guilty unfair practice ordered bargain. Appeals denied enforcement on grounds (1) not certain NLRB's decision rested factual determination true rather than new, court's view, erroneous holding free regard all managerial employees unless duties met conflict-of-interest touchstone, (2) view its previous contrary decisions, required proceed rulemaking adjudication determining whether are employees.' Held: 1. Congress intended exclude from protections NLRA properly classified 'managerial,' just those positions susceptible conflicts This is unmistakably indicated early purpose legislative history Taft-Hartley amendments 1947, subsequent construction more two decades, decisions courts appeals. Pp. 274—290. 2. rulemaking, or some types 290—295. (a) precluded announcing new principles adjudicative proceedings, choice between initially lies within discretion. SEC versus Chenery Corp., 332 194, 67 1575, 91 L.Ed. 1995; Wyman-Gordon Co., 394 759, 89 1426, 22 709. Pacific KF135 P2 294. (b) In large number manufacturing. wholesale, retail units, wide variety buyers' duties, depending industry, generalized standard have no marginal utility, thus has reason with caution develop standards case-by-case manner attention specific character authority each company. 475 Federal Reporter, 2nd 485, affirmed part, reversed remanded. Norton Judge Come, Washington, D.C., petitioner. Richard E. Moot, Buffalo, N.Y., respondent. Mr. Justice POWELL delivered opinion Court. 1 case presents questions: first, determined employees,' except whose participation job responsibilities, Act;1 second, must We answer both questions negative. 2 * Respondent Bell Aerospace Division Textron, Incorporated (company), operates plant Wheatfield, New York, where engaged research development design fabrication aerospace products. July 30, 1970, Amalgamated Local 1286 Automobile, Agricultural Implement Workers America (union) petitioned (Board) election determine representative 25 purchasing procurement department at company's plant. opposed ground Act. 3 relevant facts adduced hearing follows. receives requisition orders other departments responsible needs outside suppliers. Some items standardized may purchased 'off shelf' various distributors Other made specifications, accompanied detailed blueprints technical plans. Requisitions often designate particular vendor, instances buyer obtain approval before selecting different one. Where vendor specified, choose 4 Absent instructions contrary, full discretion, without dollar limit, select prospective vendors, draft invitations bid, evaluate submitted bids, negotiate price terms, prepare purchase orders. Buyers execute up $50,000. They place cancel less $5,000 own signature. commitments excess $5,000, superior, higher levels cost increases. For Minute Man missile project, which represents 70% sales, team personnel engineering, quality assurance, finance, manufacturing departments. serves chairman signs order, but pricing negotiation participates working out terms. 5 After hearing, Regional Director transferred Board. May 20, 1971, issued purposes collective directing 190 N.L.R.B. 431. Relying recent North Arkansas Electric Cooperative, Inc., 185 550 (1970), first employees,'2 entitled protections. then rejected alternative contention should because commit credit, prices potential members essence, argued receptive bids contractors also influence 'make buy' favor 'make,' creating additional work sister unions thought, possible 'unsupported conjecture' since 'discretion latitude independent action take confines general directions Employer established' 'any temptation allow sympathy such could effectively controlled Employer.' N.L.R.B., 6 June 16, conducted 15 nine against. August 12, buyers. That same day, Eighth Circuit another order 446 602, therefore protections.3 Id., 610. 7 Encouraged Circuit's decision, moved reconsideration earlier order. motion, 196 827 (1972), stating disagreed adhere Arkansas. Board's only associated 'formulation implementation relations policies.' 828. case, 'fundamental touchstone' 'whether responsibilities employee group do include determinations arise if person involved participating member organization'. Ibid. Turning present reiterated prior finding had shown 8 stood buyers, bargain union. An complaint resulted violated §§ 8(a)(5) Act, 29 Code KF62 158(a)(5) (1), compelling 197 209 (1972). Subsequently, Second review cross-petitioned enforcement. 9 485 (1973). reviewing 61 Statutes-at-Large 136, this area, court concluded protection It explained 'exclusion embraced 'so closely related aligned management position his employer one hand fellow workers other' who 'formulating, effectuating employer's policies established policy, performance duties,' Illinois State Journal-Register, NLRB, 412 37, 41 (7 Cir. 1969).' F.2d, 494. added, 'the (not) precluded, proper consequently come § (1).' 10 merits acknowledged there substantial evidence sufficiently high hierarchy constitute Nevertheless, reasons. First, these 'its our met' touchstone. 494—495. Second, although thought that, long line cases accomplish change adjudication. Rather, conduct rule-making proceeding conformity 156. remanded proceeding. 11 granted certiorari. 414 816, 47, 38 49. II 12 begin question relations, excluded Act.4 provide necessary guidance inquiry. examining authorities, we draw several statutory construction. addition importance history, accord great weight longstanding interpretation placed statute agency charged administration.5 especially so re-enacted pertinent change.6 circumstances, congressional failure revise repeal agency's persuasive Congress.7 recognized legislation declaring intent significant weight.8 Application leads us conclude, did Appeals, 'managerial.' 13 Wagner 49 449, expressly mention term employee.' Act's passage, developed concept employee' series involving appropriateness units. included rank-and-file employees. Freiz & Sons, 47 43, (1943), example, expediters proposed production maintenance 'closely management.' Similarly, Spicer Mfg. 55 1491, 1498 (1944), again containing office, technical, clerical, professional possessed (the expediters) exercise discretion making behalf Company stamps them managerial.' rationale soon applied See, e.g., Hudson Motor Car 509, 512 (1944); Vulcan 58 733, 736 Barrett Division, Allied Chem. Dye 65 903, 905 (1946); Controller 69 1242, 1245—1246 (1946). summarized policy Ford 66 1317, 1322 (1946): 14 'We customarily units rank file executive formulate, effectuate policies. These considered still deem express make operative Whether regarded entirely well inapproppriate inclusion unit, certain. To sure, time certify separate state possible. cautious, Dravo 54 1174, 1177 office clerical employees, reserved 'managerial': 16 'This say, right self-organization under precise relationship here now being us.' 17 During period respect narrower category 'supervisory manifested progressive uncertainty. supervisors Mueller Brass 39 167, 171 (1942), Union Collieries Coal 961, supplemental 44 165 composed represented Shortly thereafter, Godchaux Sugars, 874 approved affiliated trend halted, Maryland Drydock 733 supervisors, literally 'employees' organized unit. And Yale Towne 60 626, 628—629 (1945), further timestudy men, "interests functions" "sufficiently akin management," 'should neither nor unit.' 18 Drydock, supra, subsequently overruled Packard 4, 64 1212 foremen upheld 5—4 330 789, 1040 (1947). reversal dissenting Douglas pertinent. 493, 789. He stated: 19 'The . tends obliterate labor. lends sanctions federal law unionization industrial hierarchy. emphasize basic opposing forces industry operating stockholder bondholder other. problem defined comes down contest over fair division gross receipts groups. struggle control power becomes secondary growing unity common demands ownership. 20 'I believe exaggerated statement underlie decision. meaning vice-presidents, managers, assistant superintendents, superintendents—indeed, payroll company, including president; commonly referred management, exception directors. If vice-presidents recognition agency, N Dec. Immigration Nationality Decisions see how deny yet application. But once unionized, will become solid phalanx factions warring camps. 21 '(I)f Congress, when enacted mind philosophy, left clear unmistakable trace purpose. find none.' 494—495, S.Ct., 794—795. noted protect 'laborers' 'workers' organize collectively been resulting strikes, strife, unrest. By contrast, similar foremen, vice presidents. 496—497, Furthermore, desired supervisory expressly. Railway 1926, 577, 45 151; Merchant Marine 1936, amended, 52 953, 46 1101 et seq.; Social Security 1101, 647. B 23 major factor bringing about 136. House bill, H.R. 3020, 80th Cong., 1st Sess. (1947),9 provided exclusion 'supervisors,' broadly individual hire, transfer, promote, discharge, reward, discipline recommend action. (i) amount wages earned employees; (ii) personnel, employment departments, police time-study personnel; (iii) confidential Senate version S. 1126, (1947),10 narrowly version, distinguishing 'straw bosses, leadmen, set-up minor hand, supervisor vested genuine prerogatives hire fire, discipline, effective recommendations action.' S.Rep.No. 105, Sess., Senate's bosses,' 24 Significantly, Report voiced concern broad reading 'employee' clearly Focusing Douglas' dissent Packard, specifically mentioned presidents unionized hurt productivity, increased accident rate, upset balance bargaining, tended blur 4—5. echoed reduction output deprived employers loyal representations entitled.11 criticizing expansive definition 'employees,' '(w)hen passed concerned, said preamble, welfare 'wage earners,' boss.' H.R.Rep. 245, Conference Committee adopted bill. H.R.Conf.Rep. 510, 35 (1947) U.S.Code Cong.Serv., Pages 1135, 1141. Managers' explanation 26 conference agreement, 'supervisor,' limits individuals treated amendment. persons provision, done treated, presumably continue treat, scope act. prevailing people secretaries well, intention conferees alter respect. agreement does treat guards Since, qualify special provisions amendment applicable cover many category. guards, permit certification admits membership, guards.' 35—36, Cong. Serv. Page 27 1947 wanted straw whom believed protected As persons, prevailed. There plainly explicit. representatives agreed provision unnecessary Among impliedly 'labor departments,' 'confidential assuredly exhaust universe persons. strongly suggests much structure, likewise exclusionary necessary. discussion '(m)ost 'confidential' executives act event.' H.R.Rep.No.245, (emphasis added).12 think inference plain paramount among group. instant put issue well: 28 'Congress 'managerial' inconceivable Surely supposed while secretaries' organized, bosses be. words, failed enact portion relating executives, deemed unnecessary.' 491—492.13 (Footnote omitted.) Contract Following passage itself adhered Denver Dry Goods, 74 1167, 1175 (1947), set good sales records examples assist selection merchandise, assume buyer's latter present, interests identified Palace Laundry Cleaning, 75 320, 323 n. (1947): 30 like 'supervisory,' extent necessarily matter degree exercised. past, formulate expressing employer, contemplates continuance practice.' (Citations 31 Denton's, 83 35, 37 (1949), 'interests ..' American Locomotive 92 115, 116—117 (1950), stating: 32 maintains management. appears authorized purchases Employer, accorded rights Act.' 33 Buyers, bind approval, Curtiss-Wright 103 458, 464 (1953), 'they 34 Finally, Swift 115 752, 753—754 (1956), reaffirmed long-held understanding refusing approve drivers declared: 'It coverage allied Such cannot Accordingly, reaffirm (Footnotes 36 Until consistently followed Act.14 never otherwise, repeatedly Congress' permitted stand amended 1959. 73 519. 'formulate employer,'15 exception. Westinghouse Corporation 424 1151, 1158 (CA7), cert. denied, 400 831, 63, 62 (1970); (CA7 1969); Continental Insurance 409 727, 730 (CA2), 396 902, 90 215, 178 (1969); Retail Clerks International Assn. 125 U.S.App.D.C. 65—66, 366 642, 644—645 (1966) (Burger, J.), 386 1017, 87 1373, 455 (1967);16 Ladies' Garment Workers' 339 116, 123 (CA2, 1964) (Marshall, J.).17 602 (1971), reviewed disapproved departure position. Defendant sum, consistent appeals point conclusion Act.18 agree below 'is free' read restrictive into conclusion, apply legal status buyers.19 318 80, 85, 63 454, 626 (1943); FTC Sperry Hutchinson 405 233, 249, 898, 907, 170 fall employees.'20 III invoking procedures 156.21 disagree. At outset, nature noted. resorted fact improperly promulgated 'rule,' context covers meeting 'conflict relations' Our wrong makes consideration unnecessary. remand invoke determines, light opinion, decisions22 rule designed 'to fit times.' 42 A presented second 1995 (Chenery II).23 There, corporation Commission formulated resort instead promulgate govern future conduct. rejecting contention, duty decide remained 'regardless previously spelled regulation.' 201, 1580. continued: 43 function filling interstices (Securities) performed, possible, through quasi-legislative promulgation rules future. rigid requirement effect administrative process inflexible incapable dealing specialized problems arise. Not every principle essential administration can cast immediately mold rule. await development, others adjusted meet particular, unforeseeable situations. performing important functions respects, therefore, equipped either insist upon form exalt necessity. 'In reasonably foresee, solved despite Or sufficient experience warrant rigidifying tentative judgment hard fast varying impossible capture boundaries situations, retain deal case-to-case basis effective. very definite evolution standards.' 202—203, 1580 (Emphasis added.) individual, ad hoc litigation primarily informed agency.' 203, 709 (1969), enforcing list Excelsior Underwear 156 1236 (1966). plurality Fortas, joined Chief Justice, Stewart, White, '(a)djudicated serve vehicles formulation policies, announced therein,' 'generally guide expected cases.' 765—766, 1429. concurring Black, Brennan Marshall, powers 'within discretion.' 772, 1426. views expressed instance Although situations reliance abuse violation nothing justify conclusion. Indeed, ample indication context. noted, '(t)here tens thousands manufacturing, wholesale employ hundreds latter.' 496. Moreover, vary widely industry. doubtful framed utility. caution, developing best weight. 48 past require result. adverse consequences ensuing reconsidering liability sought imposed actions taken good-faith pronouncements, Nor fines damages here. event, largely speculative, finally true, course, forum soliciting affected embarking course. surely produce information mature issues. Those most affected, opportunity heard determination. 50 part cause proceedings opinion. 51 Judgment ordered. 53 WHITE, BRENNAN, STEWART, MARSHALL join, part. concur Part Court's insofar holds deciding class Section 157, provides '(e)mployees shall self-organization, form, organizations, choosing 8(a)(1), 158(a)(1), interfere guaranteed 7, 8(a)(5), 158(a)(5), refuse 'employees.' foregoing sections, 2(3) means 56 'but agricultural laborer, domestic service family home, parent spouse, having contractor, supervisor, subject 152(3). 57 excludes who, 2, implement face—'any employee,' specified exclusions, benefits Each exclusions narrow precisely class, none mentions 'Supervisors' excluded, mush 2(11): 59 authority, suspend, lay off, recall, assign, responsibly direct them, adjust grievances, action, connection merely routine nature, requires use judgment.' 152(11). Without more, meant whole excepted 2(3). infer subgroup, unwarranted, least careful define what exclusion. What 2(12), 152(12), subclass skills 'involving in' work. obviously Act; 9, 159, after investing hold 'if includes majority vote apparent, seems me, treats assumed organizational otherwise accordance desires. Hence 9(b). Insofar face compared across-the-board ruling Board, involve collectively, far adhering apparent Congress. construed construed. No exclusion, said, for, satisfy appear difficult questionable feat rewrite substantially, purports license result decisions. occurred but, respect, amendments, cases, concluding understand completely concedes during workers. statements ambiguous, occasion acknowledges, excluding pointedly caveat '(t) (1944). given 'that differing materially rights, '(b)ecause responsibility peculiar apparently addressed community exercising 9. amendments. vacillated time, recognizing confined recognize returning short went 492 3, prompted go ever gone Act.1 738, 740 'no longer convinced mere follows units' achieve outweighed dangers inherent commingling functions, freedom Shortly, faced claim address 'not persuaded factors militating against establishment forth obviated circumstance seeking represent independent, unaffiliated union.' General Motors 457, 460 (1943). Soss 348 appropriate, nonetheless practice: conclude force remove 8(1) (3)' 353. Ultimately, reverted members. When undertook amend following upholding acting renewed mantle protection, enduring establish 'employee.' pattern away approving grant supervisors. 'supervisor' limited interest, judgment, 1126 2(11). 'supervisors' paid area employment, police, matters, (c) 3020 2(12). Neither proposals terms entire i.e., determine, beyond defining proposing step easily not, recently or, separately, 1242 One expect eliminate so, particularly categories separately differently. fill gap referring accompanying explaining adoption 'supervisors.' report indeed instructive, indicates clearly, my contemplate Act: 68 guards. dealt section 9(b) Cong.Serv.1947, emphasizes language 'impliedly excluded' dint quoted. From premise, proceeds similarly 'employee,' assumption groups statute, address, debate whatsoever authoritative class. 70 explains already accurate practice, seemed see, Murray Ohio (1945); 1317 (1964), accepting direction follow regarding explicit manner, excluded. implied approved, wholly restricted solely 9(b), 159(b). Given desire suppose silence provisions, treatment somehow codify unavoidable unprotected perceived class.2 71 advanced few passing references floor debates, cites ante, 283 nn. 13, 'executives' apart exclude. cited passages it, addressed, focus remarks Perhaps secretary's superior himself, both. debates materials distinquished distinction drawn, discussed.3 72 consider intending Justices interpreted 'put acted formulating executing U.S., 496, 795. supplied.) See id., 500, Limiting us, changing successful efforts organizations covering traditionally subservient men hired supervise.' S.Rep. (1947); 93 Cong.Rec. 3553. supervision affiliation, raise concern. continued hold, frequently before, interests, 1167 320 Denton's (1949); Wise, Smith 1019, 1021 8, (1950). 1950, 117, placement '(a)s Reliance placing 752 flatly asserted 753—754. sole support statement, repudiated, reference definitions 'employer' Report's quoted above reprinted Congressional Record. thereafter occasionally citing Swift, Copeland Refrigeration 118 1364, 1365 (1957); AFL—CIO, 120 969 (1958), suggesting E.g., Mack Trucks, 116 1576, 1577—1578 (1956); Diana Shop, 743, 745 (1957). Tel. Radio 1652, 1654 (1958); Kearney Trecker 121 817, 822 Weaver Motors, 209, 216 (1959); Eastern Camera Photo 140 569, 572 (1963). actually twice afforded appeal. either, deferred total reached. current sustained. refuses precedents overturn sustained overruling interpretations E.g. Golden Bottling 168, 414, 388 (1973); events demonstrate permissible statute. 76 1959, 1959 boycotts picketing, focused imply rulings theretofore made. Boys Markets, Clerk's Union, 398 235, 241—242, 1583, 1587, 199 Sinclair Refining Atkinson, 370 195, 82 1328, 440 (1962): 77 'Nor conclusive respond theory acceptance cautioned '(i)t treacherous alone controlling law.' Girouard 78 States, 328 61, 69, 826, 830, 1084 Therefore, circumstances evidencing inaction Sinclair, decision.' 79 Commissioner Internal Revenue Glenshaw Glass 426, 431, 473, 476, 99 483 (1955). concerning Swift's foreclose possibility reflection. Seven-Up 344 344, 350—352, 287, 290—292, 97 377 (1953). 80 cohesive rulings. tell based propriety worker accept 'has 'warrant record' reasonable law,' Hearst Publications, 322 111, 131, 851, 861, 88 1170 390 254, 260, 988, 991, 1083 (1968). hamstring requires, simply Act—erroneously me 81 respectifully dissent. 519, 151 seq. revealed Member Jenkins 431 accepted 432 3. mentioned, relied case. reported 324 (1969). defines follows: employee, subchapter explicitly states ceased consequence of, with, dispute obtained regular substantially equivalent herein defined.' Supervisory respondibility Red Lion Broadcasting FCC, 395 367, 381, 1794, 1801—1802, 371 Zemel Rusk, 381 1, 11—12, 85 1271, 1278—1279, 179 (1965); Udall Tallman, 380 16—18, 792, 801—802, 616 Norwegian Nitrogen 288 294, 315, 350, 358, 796 (1933). 1278—1279; Noel Estate, 678, 682, 1238, 1240, 159 Gullett Gin 340 361, 365—366, 337, 340—341, 95 337 (1951); Helvering R. Reynolds Tobacco 306 110, 114—115, 423, 425—426, 536 (1939); 313, 357. Costanzo Tillinghast, 287 341, 345, 152, 153, 350 (1932); Midwest Oil 236 459, 472—473, 309, 312—313, 673 (1915). 1801—1802; Housing Administration Darlington, 358 84, 90, 141, 145, 132 (1958). 2(12) bill individual— '(A) employer— '(i) demote, action; '(ii) to, apply, application determined, judgment; '(B) matters claims employers, respects secure furnish used foregoing; '(C) available public, competitors, generally, employer.' 2(11) contained 'supervisor': evident concerned unionized: 'Supervisors people. distinguished themselves demonstrated ability care pressure forced abandoned 'collective security' voluntarily, opportunities opened valuable 'security.' wrong, kind, initiative, ambition get ahead, leveling processes seniority, uniformity standardization recognizes fundamental unionism. (J. I. Case 321 332, 576, 762 discourages things place. reason, qualified strength productivity country.' 16—17 employees': 'These receive generally. Most event. itself, normally clerks these.' 1946 1322, narrowed embrace exercised "managerial' field relations.' Reports, refers Thus, misconstrued term. asserts 'very face' post, 297, later 'Conference excluded.' Post, 305. argues forth.' overlooks ex- clusionary supra. along Report, evinced extension corporate 3443; 4136; 5014. addition, ignores philosophy accomplished dissent, 'workers,' Extension revolutionary, eviscerate traditional drastic, unreasonable relies 'professional assertion treated. 297—298. 152(12). 'Professional explained, 'such legal, scientific medical together junior assistants.' H.R.Conf.Rep.No.510, 36, contrast 1322. 571 (1963); 969, 973 Ohio, 112 1225, 1229 legion. Ed's Foodland Spring-field, 1256, 1260 (1966); Albuquerque Div., ACF Ind., 145 403, 414—415 215—216 Temco Aircraft 1085, 1089 1653—1654 Surprisingly, 'actually twice' 309. reconcile undisputed until mangerial (1950); 458 (1953); swift above. 4. (then Judge) Burger 'those policies,' (120 (1958)), jobs, conform (1963) (store managers managerial). unarticulated, belief clude comprised 'management' one(s) needed protection.' 645. Marshall '(a)lthough duration, 123. urged far-reaching results. shop foreman range included. scores officers identifiable certainly plain. contemplates. 571. Of title controlling. answered actual responsibilities. England Telephone, 639 U.S.App.D.C., 644—645. suggested notice introduce Tr. Oral Arg. 33—35, 47. officer indicate relevant, proceeded App. 83. record adequate However, tendered remand, reopening admission. provides: make, amend, rescind, prescribed Administrative Pro- cedure regulations carry subchapter.' Procedure (APA) 'rule' applicability implement, interpret, prescribe policy. .' 551(4). requirements publication Register hearing; interested participate; rule; adopted. APA 'adjudication' 'agency order,' 'order' final disposition affirmative, negative, injunctive, declaratory licensing.' 551(7), (6). Proceedings representatives' exempted procedural 'adjudication.' 554(a)(6), 556(a), 557(a). Sections 9(c)(1) empower investigate petitions representation, hearings petitions, elections, results thereof. 159(c)(1) (2). 'orders' APA. 551(6), (7). specify rulemaking. APA, 553, analogous. 165; 874. Then 733; Boeing 67; America, 94; 457. 1212; L. Atlantic Young Spring Wire 298; Jones Laughlin Steel 386, 1261; California Packing 1461, re-embraced conclusions boldness Sugars cases. Manufacturing 348.' Ante, 284 285 13. dispute, 1174 mean say definition. is, justification designation surrounding adoption. something took pains discuss confidential, time-study, expresses extending level thereby blurring overblown; most, all, 'super' professionals remaining told group, reach vertically, laterally, 'hundreds thousands,' relatively low-level argue, does, expressly, burden falls legislated directly

Classification Label: 6