NOTICE: This
opinion is subject to formal revision before publication in the bound volumes of NLRB decisions. Readers are requested to notify the Executive
Secretary, National Labor Relations Board,
John T. Jones
Construction Co., Inc. and Carpenters’
District Council of Kansas City & Vicinity, affiliated with United
Brotherhood of Carpenters and Joiners of America, AFL–CIO. Cases 17–CA–22607, 17–CA–22614, and 17–CA–22708
August 19, 2008
SUPPLEMENTAL DECISION
AND ORDER
By Chairman Schaumber and Member
Liebman
On June 4, 2007, the
National Labor Relations Board issued a Supplemental Decision and Order1 in the above-entitled proceeding, in
which it affirmed Administrative Law Judge Lana H. Parke’s findings2 and directed the Respondent to make
discriminatees Brian Estenson, Ryan Reynolds, Sterling Jason Hammons, and Bob
King whole by paying specific amounts of backpay as set forth in the compliance
specification.
On November 29, 2007, the
Board issued an unpublished Order vacating the Supplemental Decision and Order
in order to reconsider the issues affected by its decision in Oil Capitol Sheet Metal3
The Board invited the parties to file supplemental briefs. The General Counsel, the Respondent, and the
Charging Party filed supplemental briefs in response to the Board’s invitation.
The Board,4 having reconsidered the matter, has decided
for the reasons set forth below to affirm the judge's rulings, findings,5 and conclusions and to adopt the recommended
Order as modified.6 Specifically, we find that the application of
Oil Capitol does not warrant a different
result.
In Oil Capitol, the Board overruled the application of the Dean General Contractors7
presumption that, in the absence of discrimination, an employee who was a
union salt would have continued his employment indefinitely from the date of
discrimination until a valid offer of instatement was made. Oil Capitol requires the General
Counsel, as part of his existing burden of proving a reasonable gross backpay
amount due, to present affirmative evidence that a discriminatee who was a
union salt would have worked for the employer for the entire backpay period
claimed in the General Counsel’s compliance specification.8
In this case, where the
hearing was held prior to the issuance of Oil
Capitol, the Respondent contended that the discriminatees were salts and,
as such, would have worked shorter backpay periods than those set forth in the
General Counsel’s backpay specification.
The judge rejected the Respondent’s contention, finding that the Respondent
presented no specific facts to show that any discriminatee would have worked a
shorter backpay period than that alleged by the General Counsel. The judge did not, however, specifically
determine whether the discriminatees were in fact salts.
We find that, even assuming
that the discriminatees were salts, the backpay calculations set out in the compliance
determination are appropriate. The
compliance specification does not reflect the presumption of indefinite employment
that was rejected by the Board in Oil
Capitol. Rather, the backpay periods
for all of the discriminatees were limited to a single project, the Respondent’s
Southwest Wastewater Treatment Project (SWWTP) in
Further, the backpay periods
were reasonable insofar as they ended prior to the representation
election. This is consistent with Oil Capitol, where the Board found that
salts normally remain employed only until the union’s objectives are achieved
or abandoned.9
Thus, we find that even
assuming the discriminatees were salts, and thus Oil Capitol is applicable, the record sufficiently establishes that
they would have worked for the Respondent for the backpay periods claimed by
the General Counsel. Accordingly, we
affirm the judge’s findings that the backpay periods and the amounts due are
appropriate.10
ORDER
The National Labor
Relations Board adopts the recommended Order of the administrative law judge as
modified and orders that the Respondent, John T. Jones Construction Co., Inc.,
Springfield, Missouri, its officers, agents, successors, and assigns, shall
make whole the employees named below, by paying them the total backpay amounts
set forth below, with interest as prescribed in
Total Backpay Due
Brian Estenson $12,932.80
Ryan Reynolds 7,005.79
Bob King 11,555.26
Total: $37,163.36
Dated, Washington, D.C. August 19, 2008
Peter
C. Schaumber,
Chairman
![]()
Wilma
B. Liebman,
Member
(seal) National
Labor Relations Board
Stanley
D. Williams, Esq., for the General Counsel.
Donald W.
Jones, Atty. (Hulston, Jones, & Marsh), of
Michael
Stapp, Atty. (Blake & Uhlig), of
DECISION
Statement of the Case
Lana H. Parke, Administrative Law Judge. The National Labor Relations Board (the
Board) issued an unpublished Order in the above-captioned matter dated December
16, 2004, which directed that John T. Jones Construction Co., Inc. (Respondent)
take certain affirmative action, including making Brian Estenson, Ryan
Reynolds, Sterling Jason Hammons, and Bob King (respectively, Estenson,
Reynolds, Hammons, and King) whole for any loss of earnings and other benefits
suffered as a result of unlawful discrimination against them.
A controversy
having arisen over the amount of backpay and benefit compensation due under the
terms of the Board’s Order, the Regional Director for Region 17 of the Board
issued a compliance specification and notice of hearing on December 15, 2005.1
I heard this
matter in
Issues
1. Whether the
backpay periods calculated by the General Counsel for each discriminatee are
appropriate.
2. Whether the
General Counsel appropriately utilized a comparable employee analysis in
determining the number of hours discriminatees would have worked during the
backpay period.
3. Whether the
General Counsel’s backpay and benefit computations are appropriate.
4. Whether
Respondent sustained its burden of showing that any discriminatee failed to
mitigate backpay by making a reasonable search for interim employment.
5. Whether
Respondent sustained its burden of showing that any discriminatee concealed
interim earnings.
Findings and Conclusions
i. the board’s order
The Board’s
unpublished Order directed that Respondent effect the recommended Order of
Administrative Law Judge (the judge), Margaret G. Brakebusch, in her decision
(JD(ATL)–50–04) dated September 24, 2004, which states in pertinent part:
Take the following affirmative action
necessary to effectuate the policies of the Act:
(a) Within 14 days from the date of this Order, offer Brian Estenson, Ryan Reynolds, Sterling Jason Hammons, and Bob King full reinstatement to their former jobs or, if those jobs no longer exist, to substantially equivalent positions, without prejudice to their seniority or any other rights and privileges previously enjoyed.
(b) Make Brian Estenson, Ryan Reynolds, Sterling Jason Hammons, and Bob King whole for any loss of earnings and any other benefits suffered as a result of the discrimination against her in the manner set forth in the remedy section of the decision.
The Order further adopted the judge’s
remedy that compensation to Estenson, Reynolds, Hammons, and King be computed
on a quarterly basis from date of discharge to date of proper offer of
reinstatement, less any net interim earnings, as prescribed in F. W. Woolworth Co., 90 NLRB 289 (1950),
plus interest, as computed in New Horizons
for the Retarded, 283 NLRB 1173 (1987).
ii. the general counsel’s backpay calculations
Based upon its
review of Respondent’s payroll records following the Board’s Order, Region 17
determined that the wages and hours of comparable employees best approximated
the compensation each discriminatee would have received had Respondent not
unlawfully fired him.2 In designating comparable employees, the
Region selected individuals less senior than the respective discriminatee who
performed the same work during the relevant time period. The Region also queried the discriminatees as
to efforts to secure work following termination and work performed during the
relevant backpay period along with attendant expenses. Based on the discriminatees’ responses, the
Region calculated net interim earnings (gross interim earnings less expenses).
Utilizing the pay rates and hours worked of the comparable employees, less the
net interim earnings of the discriminatees, the Region calculated the compensable
amounts due each discriminatee as detailed below.
A. Brian Estenson
At the time of
his termination, October 31, 2003, Respondent employed Estenson as a carpenter
on the Southwest Wastewater Treatment Project in
prevailing wage
job.3
Respondent paid Estenson $18.33/hour plus, in compliance with the
prevailing wage requirement, $6.65/hour in lieu of fringe benefits. Respondent unlawfully terminated Estenson on
October 31, 2003. The General Counsel
fixes Estenson’s make-whole period from date of termination to June 5, 2004,
when, by the Region’s analysis, representative hours for Estenson on SWWTP
ended.
The General
Counsel computed Estenson’s gross backpay for the make-whole period based on
the allegedly comparable earnings of the following carpenters employed by Respondent
during the make-whole period as indicated by their respective pay periods:
Ricky Johnston 11/08/03—02/14/04
Bruce Wales 02/21/04—03/13/044
The General
Counsel computed Estenson’s net backpay for the make-whole period by subtracting
his alleged calendar quarter net interim earnings6 from his calendar quarter gross
backpay, arriving at the following figures:
Gross Prevailing Total
Gross Interim Net
Interim Net
Quarter Backpay Wages Backpay Earnings Expenses Earnings Backpay
IV/03
$4,339.65 $1,429.77 $5,905.75 $1,068.00 $14.60 $1,053.40 $4,852.325
I/04
6,786.49 2,367.45 9,153.94 6,468.00 60.00
6,408.00 2,745.94
II/04
3,918.05 1,416.46 5,334.51
0.00 35.00 0.00 5,334.51
TOTAL NET BACKPAY:
$12,932.80
Following his
discharge, Estenson placed his name on the union employment call list,
registered with the
B. Ryan Reynolds
At the time of
his termination, February 2, 2004, Respondent employed Reynolds as a laborer on
SWWTP. Respondent paid Reynolds
$14.53/hours plus, in compliance with the prevailing wage requirement,
$6.35/hours in lieu of fringe benefits.
Respondent unlawfully terminated Reynolds on February 2, 2004. The General Counsel fixes Reynolds’
make-whole period from date of termination to August 6, 2004, the approximate
date he started law school.
The General
Counsel computed Reynolds’ gross backpay for the make-whole period based on the
allegedly comparable earnings of the following laborer employed by Respondent
during the make-whole period as indicated:
Daniel Shane Landers 02/07/04—08/14/04
Prior to his
discharge, Reynolds worked fewer than 40 hours in all weeks but two. Daniel Landers worked 19-percent more hours
during Reynolds’ make-whole period than Reynolds worked during his
pretermination work period. Guida testified
that Reynolds’ reduced work hours were due to his having called in sick “quite
a bit” and having taken discretionary time off for school.
The General
Counsel computed Reynolds’ net backpay for the make-whole period by subtracting
his alleged calendar quarter net interim earnings from his calendar quarter
gross backpay, arriving at the following figures:
Gross Prevailing Total
Gross Interim Net
Interim Net
Quarter Backpay Wages Backpay Earnings Expenses Earnings Backpay
I/04 $4,207.37 $1,806.25 $6,013.62 $3,059.88 $0.00 $3,059.88 $2,953.74
II/04 7,703.82 3,215.68 10,919.50 9,064.96 845.00 8,219.96 2,699.54
III/047 4,718.91 1,807.55 6,526.46 6,251.58 1,077.63
5,173.95 1,352.51
TOTAL
NET BACKPAY: $7,005.79
Following his
discharge, Reynolds secured the following employment for the approximate
following dates:
02/20/04 to 03/27/04 Artisan Construction
04/18/04 to 06/04/04 HBC
06/09/04 to 06/
Reynolds’ listed
expenses reflect the following: travel costs connected with his job search in
St. Louis, relocation to St. Louis upon obtaining work, uniform costs during
employment with Bender Construction, during the third quarter 2004, commuting
costs from St. Louis to Reynolds’ job with Bender Construction in O’Fallon,
Missouri, beyond commuting costs engendered during Reynolds’ employment with
Respondent, and costs of carpentry tools purchased during employment with
Bender Construction.8
C. Sterling Jason Hammons
At the time of
his termination, February 13, 2004, Respondent employed Hammons as a carpenter
on SWWTP. Respondent paid Hammons
$18.33/hours plus, in compliance with the prevailing wage requirement,
$6.65/hours in lieu of fringe benefits.
Respondent unlawfully terminated Hammons on February 13, 2004. The General Counsel fixes Hammons’ make-whole
period from date of termination to about August 21, 2004, when, by the Region’s
analysis, representative hours for Hammons on SWWTP ended.
The General
Counsel computed Hammons’ gross backpay for the make-whole period based on the
allegedly comparable earnings of the following carpenters employed by Respondent
during the make-whole period as indicated:
Jim Michels 02/21/04—05/29/04
David Mobley 06/05/04—08/21/04
The General
Counsel computed Hammons’ net backpay for the make-whole period by subtracting
his alleged calendar quarter net interim earnings from his calendar quarter gross
backpay, arriving at the following figures:
Gross Prevailing Total
Gross Interim Net
Interim Net
Quarter Backpay Wages Backpay Earnings Expenses Earnings Backpay
I/04 $2,217.21 $
788.06 $3,005.27 $ 0.00 $
0.00 $0.00 $3,005.27
II/04 7,689.49 2,773.10 10,462.59 7,798.35 0.00 7,798.35 2,664.24
III/04 4,303.20 1,596.23 5,899.43
6,876.34 0.00 6,876.34 0.00
TOTAL
NET BACKPAY: $5,669.51
Following his discharge,
Hammons registered for work on the
D. Bob King
King began
working for Respondent on December 16, 2002.
Respondent laid King off on February 13, 2003, and rehired him on March
23, 2003. On July 31, 2003, Respondent
listed King as a voluntary quit upon his incarceration. Thereafter, Respondent rehired King on
September 11, 2003, and he continued working for Respondent until his unlawful
termination on March 30, 2004. At the
time of his termination, Respondent employed King as a carpenter on SWWTP. Respondent paid King $18.33/hours plus, in
compliance with the prevailing wage requirement, $6.65/hours in lieu of fringe
benefits. Respondent unlawfully
terminated King on March 30, 2004. The
General Counsel fixes King’s make-whole period from date of termination to
January 18, 2005, when King returned to work for Respondent. Thereafter, King voluntarily terminated him
employment with Respondent on February 11, 2005.
The General
Counsel computed King’s gross backpay for the make-whole period based on the allegedly
comparable earnings of the following carpenters employed by Respondent during
the make-whole period as indicated:
James Moody 04/03/04—08/21/04
David Mobley 08/28/04—01/15/05
The General
Counsel computed King’s net backpay for the make-whole period by subtracting
his alleged calendar quarter net interim earnings from his calendar quarter
gross backpay, arriving at the following figures:
Gross Prevailing Total
Gross Interim Net
Interim Net
Quarter Backpay Wages Backpay Earnings Expenses Earnings Backpay
II/04 $9,641.74 $3,202.00 $12,843.74 $6,721.80 $7.50 $6,714.30 $6,129.44
III/04 8,569.67 2,978.75 11,548.42 9,843.25 0.00 9,843.25 1,705.17
IV/04 8,030.20 2,917.94 10,948.14
9,116.40 67.50 9,048.90 1,899.24
I/05 1,535.17
548.64 2,083.81 262.40 0.00 262.40 1,821.41
TOTAL
NET BACKPAY: $11,555.26
Following his
discharge, King secured the following employment for the approximate following
dates:
04/14/04 to 04/30/04 Travis Meyers
05/10/04 to 10/30/04 J.C. Industries
11/12/04 to 12/23/04 Donco
King’s listed
expenses reflect personal vehicle costs incurred while seeking interim employment.
iii. discussion
A. Legal Principles
The general principles in determining backpay
are well established: the General Counsel’s must show the gross backpay due
each claimant, i.e., the amount the employees would have received but for the
employer’s illegal conduct. Any backpay
computation formula that closely approximates the amount due, if it is not
unreasonable or arbitrary in the circumstances, is acceptable. Midwestern Personnel Services, 346 NLRB 624
(2006); Performance Friction
Corp., 335 NLRB 1117 (2001); Reliable
Electric Co., 330 NLRB 714, 723 (2000) (citations omitted.) The comparable or representative approach to
determining backpay is an accepted methodology.
Performance Friction Corp.,
supra at 1117.
The burden is on Respondent to establish any
affirmative defenses that would mitigate its liability, including the amount of
interim earnings to be deducted from the backpay amount due, and any claim of
willful loss of earnings. Midwestern Personnel Services, supra at 625.
Further, the
Board has stated,
[R]emedial
questions implicate two statutory principles that must be applied. The first
principle is that the remedy should restore the status that would have obtained
if Respondent had committed no unfair labor practice. The second principle is
that any uncertainty and ambiguity regarding the status that would have
obtained without the unlawful conduct must be resolved against the Respondent,
the wrongdoer who is responsible for the existence of the uncertainty and
ambiguity [citations omitted]. Campbell
Electric Co., Inc., 340 NLRB 825, 826 (2003).
B. Respondent’s Affirmative Defenses
Respondent
raises a number of affirmative defenses to the General Counsel’s backpay
calculations. Respondent asserts that
the prevailing wage rate for employees on the SWWTP job was calculated so as to
bringing nonunion employees’ compensation into sync with wage and benefit rates
paid for union covered employment. That
being the case, Respondent argues, if interim earnings resulted from employment
under a union contract that provided for fringe benefits, the comparable monetary
worth of such benefits must be added to the interim earnings. To do otherwise, Respondent contends, would
result in a windfall to the discriminatee.
Counsel for the General Counsel asserts that the Board will recognize
the offset of interim benefits only against equivalent benefits provided by Respondent,
which benefits do not exist here.9 Counsel for the General Counsel’s argument is
supported by Tualatin Electric, 331
NLRB 36 (1997). In pertinent part of
that case, as in the present, certain of the employer’s wages reflected rates
required on prevailing wage jobs and representing compensation in lieu of
benefits. The Board affirmed without
comment the administrative law judge’s conclusion that interim employer fringe
benefit payments are not an appropriate offset to gross wages. Accordingly, I reject Respondent’s argument.
Respondent also
contends that all interim earnings in a given quarter must be deducted from
backpay owed in that quarter even if the earnings occurred after the backpay
obligation ended. Specifically,
Respondent argues that although the make-whole period for Estenson ended on
June 5, 2004, the wages he received from June 2004 employment after that date
must be deducted from net backpay for the second quarter of 2004. Respondent similarly argues that although the
make-whole period for Hammons ended on August 21, 2004, his wages from
employers other than Respondent earned through September 2004 should offset
backpay during that quarter. Under established Board procedure, discriminatees are
entitled to backpay for the period between unlawful discrimination and a valid
offer of reinstatement. See NLRB Casehandling Manual (Part 3) Compliance Proceedings, Sec. 10530.2 (defining backpay period as “beginning
when the unlawful action took place and ending when a valid offer of
reinstatement is made”) and Sec. 10542.2 (“Earnings During Periods Excepted
from Gross Backpay Not Deductible”). Respondent
has offered no authority to support its argument that an interim earnings
offset must continue beyond the end of the backpay period, and it may be
inferred from Painters Local 419 (Spoon
Tile Co.), 117 NLRB 1596 (1957),10
that the Board would not endorse such a position. In Spoon
Tile Co., the Board stated that its “practice is
that during a period when no gross earnings are attributable to a discriminate
. . . no deductions are made either for interim earnings or willful loss during
this same time.” Id at 1598.
Accordingly, I reject Respondent’s argument.
To be entitled
to backpay, a discriminatee must make reasonable efforts to secure interim
employment. Midwestern Personnel
Services, supra at slip op. 2. It is the respondent’s burden to demonstrate
affirmatively that the discriminatee failed to exercise reasonable diligence in
searching for work.
Respondent contends
that monies the discriminatees received from the
Respondent
objects to the General Counsel’s use of more than one representative employee
in calculating backpay for Estenson, Hammons, and King. Respondent argues that the General Counsel is
restricted to using one single employee per discriminatee as a comparable
employee. In selecting comparable
employees for backpay analysis purposes, compliance officer Fetsch considered
that, but for Respondent’s discrimination, Estenson, Hammons, and King would have
been available to perform hours worked by any less senior carpenters, even
though the less senior carpenters may have varied. The General Counsel’s approach was
reasonable, particularly in the context of the construction industry, where one
single comparator would be unlikely to cover the entire backpay period.12
Citing Aneco, Inc. v. NLRB, 285 F.3d 326 (4th
Cir. 2002), Respondent further argues that the General Counsel abuses his
discretion by presuming that Estenson, Reynolds, and Hammons, who were union
organizer applicants (salts) would have worked more than a short period of time
had they been offered reinstatement earlier than they were. The Fourth Circuit set no such axiom. Rather the court found the employer in Aneco presented
specific evidence to rebut any presumption that the discriminatee therein would
have completed an uninterrupted five-year employment period but for the
employer’s discrimination, an evidentiary burden that the Board clearly
requires. See Diamond Walnut, supra
at 1132–1133, wherein the Board noted its decision in Aneco, Inc., 333 NLRB 691 (2001)
requiring the respondent to “present ‘specific evidence’ of factors
that would have led to the discriminatee’s departure from work.” Id at
1132–1133. Here, Respondent presented no
specific factors to show that any discriminatee would
not have continued his employment with Respondent during the assigned backpay
period, had he not been unlawfully terminated.
Accordingly, I reject this argument.
Respondent also
argues that in calculating backpay the General Counsel did not follow the Board’s
Casehandling Manual (Compliance) in a number of instances. While compliance
with Casehandling Manual provisions is the better practice, strict adherence is
not a legal mandate. Moreover, Respondent
has not shown that the General Counsel failed substantially to follow the
compliance manual’s guidelines.
Accordingly, I reject Respondent’s arguments in this regard.
Respondent
requests that the General Counsel be ordered to give Respondent a full explanation
of any interest computations with full documentation of computerized or other
calculations. Respondent has neither
made cogent argument nor pointed out miscalculation that permits identification
of specific issues related to interest calculations. Therefore, I decline to order the General
Counsel to provide documentation of interest calculations beyond its customary
and discretional practices.
C. Brian Estenson
As to Estenson’s
calculated backpay, Respondent argues that the General Counsel inappropriately
utilized Bruce Wales as a comparable employee for the period of February 21 to
March 13, 2004, during which period Wales worked as a carpenter foreman at a
rate $1 higher than carpenter journeyman wages.
Respondent did not refute the General Counsel’s conclusion that the
position of foreman carpenter was a standard progression for Respondent’s
journeyman carpenters but asserted that Estenson would likely have declined any
nonunit position such as carpenter foreman where he would “have no vote or
voice in a union election case.” So
speculative an objection does not justify eliminating Wales as a comparable employee,
and the calculation stands.
Respondent
argues that the approximately 6-week gap between the employment of comparators
Bruce Wales and Dallas Black demonstrates the unreliability and inappropriateness
of their use as comparators. It is true
that during that period of time, no carpenter less senior to Estenson was on
Respondent’s payroll. Resuming backpay
liability for Estenson when Dallas Black was hired requires an hypothesis that
Estenson could have been recalled to employment at SWWTP at that time. While such a premise may be refutable, it is
not unreasonable, and as the courts and the Board have
generally indicated, the backpay claimant receives the benefit of any doubt.
See Midwestern Personnel Services,
supra; United Aircraft Corp., 204
NLRB 1068 (1973). Respondent further
argues that any interim earnings that accrue during such hiatus periods must be
applied against backpay assessed during that same quarter. Respondent has not provided authority for its
position, and, as stated earlier, the
Board’s practice is that “during a period when no
gross earnings are attributable to a discriminate . . . no deductions are made
either for interim earnings or willful loss during this same time.” Spoon Tile Co,
supra at 1598. Accordingly, I
reject Respondent’s argument.
Respondent also
argues that Estenson concealed earnings during the fourth quarter of 2004 from
the Carpenters Union and SDS. No
evidence supports Respondent’s assertion, and I disregard it.
D. Ryan Reynolds
Prior to his
discharge, Reynolds worked fewer than 40 hours in all weeks but two. Daniel Landers, whom the General Counsel
designated as a comparable employee, worked 19 percent more hours during
Reynolds’ make-whole period than Reynolds worked during his pretermination work
period. Respondent contends that
Reynolds’ work record demonstrates he would have worked only 81 percent of the
work hours available during the make-whole period and that, therefore, his
gross back pay figure should be decreased by 19 percent. Guida testified that Reynold’s reduced work
hours were due to his having called in sick “quite a bit” and having taken
discretionary time off for school.
Counsel for the
General Counsel does not dispute that Reynolds logged comparatively fewer work
hours than Daniel Landers. Counsel
argues, however, that the record does not contain sufficient evidence to show
whether Reynolds’ 19-percent work attenuation was based on discretional work
ethic or persistent personal circumstances rather than on ad hoc factors,
including work availability. If Reynolds’
lower work hours were the result of his work ethic or persistent personal
circumstances, it is reasonable to infer that those circumstances would
continue throughout the backpay period with a consequent work pattern of fewer
hours than the norm. In that case, it
would be fair to reduce his backpay by 19 percent. If, on the other hand, Reynolds’ lower work
hours resulted from transient, situational factors or even jobsite work
unavailability, it is reasonable to assume that he would have worked hours similar
to those worked by a comparably situated employee. On the instant record, the evidence isn’t
clear one way or the other. Guida’s
testimony, unsupported by documentary evidence, was not persuasive, and, in any
event, does not answer the question of whether the alleged factors (illness and
school attendance) would have persisted through the backpay period. The Board applies a general rule that
Respondent, as the wrongdoer, must establish any facts to negate or mitigate
its backpay liability,13 and,
as stated above, uncertainties in evidence are to be resolved against the
wrongdoer. Accordingly,
I resolve this particular uncertainty against Respondent and find Daniel
Landers to be an appropriate comparable employee for backpay calculation
purposes.
Respondent
argues, essentially, that Reynolds willfully failed to look for interim
employment because he did not seek work as a laborer, the job he had with
Respondent. Willful loss of
earnings is one of the affirmative defenses Respondent must prove to mitigate
its liability. Discriminatees are not
limited to seeking employment in their prior employment sphere in order to
demonstrate good-faith efforts to mitigate damages. The Board has found a
discriminatee who started his own business, albeit unsuccessfully, and learned
a new skilled trade, albeit without finding work in it, nonetheless
demonstrated a good-faith effort. Weldun
International, Inc., 340 NLRB 666 (2003).
Respondent has not, therefore, met its burden of showing that Reynolds
failed to make reasonable efforts to find interim employment. Respondent further objects to the expenses
claimed by Reynolds as excessive but again has failed to show, other than by
simple assertion, that the expenses were excessive or unnecessary to Reynolds’
mitigation of damages. Respondent also
contends that Reynolds claim for expenses should be rejected as it is
uncorroborated by documentary evidence and as the equipment that forms a
portion of the expenses remain in Reynolds’ possession as undepreciated
assets. The Board neither requires
corroboration for expenses nor considers whether equipment purchased as
attendant aids to interim employment may have outlived the interim employment. See Coronet
Foods, Inc., 322 NLRB 837 and fn 4 (1997), enfd. in
part 158 F.3d 782 (4th Cir. 1998). Therefore, I reject Respondent’s defenses in
these regards.14
As to Hammons’
backpay, Respondent again argues that the General Counsel is restricted to
using one single employee as a comparable employee. For the reasons set forth above regarding
computations for Estenson, I reject this argument. Relying on Guida’s testimony of the relevant
labor market, Respondent also argues that Hammons “has not shown sufficient evidence
that he has diligently sought work as a carpenter and has not met his duty to
mitigate his backpay. . . .” Respondent
misstates the burden of proof as to mitigation of backpay, which burden falls
on Respondent. See Midwestern Personnel Services, and cases cited therein, supra at 625 (“It is the respondent’s
burden to demonstrate affirmatively that the discriminatee failed to exercise
reasonable diligence in searching for work.”). Moreover, as stated above,
I have discounted Guida’s opinion of the area labor market during the backpay
periods relevant to the discriminatees.
Accordingly, I reject this argument, as well.
Respondent also
argues that Hammons failed to make sufficient effort to mitigate his backpay
claim, as his only reported effort to obtain other work was to register at the
union referral hall. Respondent’s
assertion in this regard apparently overlooks Hammons’ hearing testimony. Although Hammons agreed that he noted only “registered
for work at union hall” in the job search information portion of the backpay
questionnaire he completed for the Regional Office, he testified that he also
submitted applications to all the large union contractors in the area and
investigated work opportunities at various jobsites.15
As tribute to his efforts, the evidence shows Hammons had significant
interim earnings in two of the three quarters comprising his backpay
period. In these circumstances, Respondent
has failed to show that Hammons did not search for work with reasonable
diligence.
F. Bob King
Respondent
essentially argues that King’s spotty work history and his postreinstatement
voluntary quit demonstrate a disinterest in the job that either significantly
reduces Respondent’s backpay liability or curtails it altogether.16
King began working for Respondent on December 16, 2002. During King’s 2003 employment, he experienced
two gaps in employment: an involuntary layoff from February 13 to March 23, and
an absence from July 31 to September 11, consequent on his incarceration. King worked for Respondent without further
hiatus from September 11, 2003, until his unlawful termination on March 30,
2004. After Respondent reinstated King
on January 18, 2005, he worked until February 11, 2005, whereupon he
voluntarily terminated his employment.
Respondent
unlawfully discharged King, which entitled him to reinstatement
and backpay; Respondent’s valid offer of reinstatement to King tolled the
backpay. Those legal realities are in no
way impacted by King’s pretermination work history with Respondent or his
postreinstatement voluntary termination. The question of whether King may have
had gaps in interim employment during which Respondent should not be responsible
for backpay may be ascertained without reference to King’s work record with
Respondent. In fact, King secured interim
employment within 2 weeks of his unlawful termination and seriatim employment
thereafter with only such brief intervals as might reasonably be expected to
accompany job searches. Respondent has
presented no evidence that King did not put forth an honest, good-faith effort
to find or to retain interim work. Diamond Walnut Growers, Inc., 340 NLRB
1129 (2003), relied on by Respondent, is inapposite. In Diamond,
evidence showed that whenever the employer would have offered a particular
job to the discriminatee, he would have resigned after 6 weeks. In the instant matter, Respondent has
presented no evidence to justify an inference that King would have resigned
employment within 4 weeks of any offer of reinstatement. The mere fact of King’s
having quit 4 weeks after his 2005 reinstatement does not provide the necessary
evidence.
Conclusion
The General Counsel has met his burden of proving
gross backpay as to each of the discriminatees, herein, and Respondent has not
met its burden of proving any affirmative defenses. I find the General Counsel’s calculations
to be fair, reasonable, and accurate approximations of the earnings the discriminatees
would have enjoyed had they not been unlawfully terminated. See Weldun International, Inc., 340
NLRB 666 (2003).
I recommend that
Respondent, John T. Jones Construction Co., Inc., be ordered to pay the
following amounts to the employees listed below plus interest17 accrued to the date of payment:
Brian Estenson $12,932.80
Ryan Reynolds 7,005.79
Bob King 11,555.26
SUPPLEMENTAL ORDER
On the basis of
the foregoing, and pursuant to Section 10(c) of the Act, I recommend that the
Board issue the following supplemental Order. 18