NLRB v. Loparex LLC ( 2009 )


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  •                           In the
    United States Court of Appeals
    For the Seventh Circuit
    Nos. 09-2187, 09-2289
    L OPAREX LLC,
    Petitioner/Cross-Respondent,
    v.
    N ATIONAL L ABOR R ELATIONS B OARD ,
    Respondent/Cross-Petitioner.
    Petition for Review of an Order of the
    National Labor Relations Board.
    Nos. 18-CA-18436, 18-CA-18448, and 18-CA-18671
    A RGUED N OVEMBER 3, 2009—D ECIDED D ECEMBER 31, 2009
    Before E ASTERBROOK, Chief Judge, and W OOD and
    T INDER, Circuit Judges.
    W OOD , Circuit Judge. Loparex LLC owns and operates
    a small manufacturing plant in Hammond, Wisconsin.
    When a handful of the 200 employees working at the
    plant began to drum up interest in unionizing the
    workforce, Loparex pushed back by placing a number
    of restrictions on organizing activity at the workplace.
    Loparex’s actions were soon brought to the attention of
    2                                     Nos. 09-2187, 09-2289
    the National Labor Relations Board, which concluded
    that Loparex had engaged in a number of unfair labor
    practices in violation of the National Labor Relations Act,
    § 8(a)(1), 
    29 U.S.C. § 158
    (a)(1) (“the Act,” or “the NLRA”).
    The Board ordered Loparex to cease and desist and to
    take several affirmative steps to remedy its past violations.
    Guided by the deferential standard of review applicable
    to the Board’s decisions, we conclude that its order
    should be enforced.
    I
    Loparex owns multiple production facilities scattered
    across the country; at these plants, it manufactures
    polycoated and silicone-coated papers and films. In
    June 2006, Loparex acquired the Hammond plant from
    the Douglas-Hanson Company. Though the employees
    in that location had attempted to form a union when the
    plant was under the ownership of Douglas-Hanson, these
    efforts had died off by the time Loparex took over. With
    Loparex at the helm, employees’ prounion sentiment lay
    dormant until early 2007, when the company announced
    several controversial employment policies. Spurred in
    part by their disagreement with the company’s recent
    actions, a small group of employees renewed their
    efforts to unionize the plant. This campaign was not
    warmly received by Loparex officials.
    In the back-and-forth that followed, Loparex imposed
    several limitations on union organizing at work. After
    union supporters posted material on company bulletin
    boards in March 2007, Loparex issued a policy statement
    Nos. 09-2187, 09-2289                                  3
    that required employees to obtain approval before
    placing any material on the boards. A few months later,
    several employees attempted to distribute prounion
    flyers in Loparex’s parking lot, but they were stopped by
    company officials. Around the same time, employees
    passed out union buttons in the plant and left some
    of them near a time clock for other employees to pick up.
    When company officials learned of this activity, they
    quickly called a meeting and told the union advocates
    that they had violated company policy. Management
    also discouraged employees from talking about the
    union during working hours. Then, in June or July 2007,
    Loparex informed all of the shift leaders working at the
    Hammond plant that they qualified as supervisors
    under the NLRA and were thus prohibited from par-
    ticipating in union activities.
    Following these events, Teamsters Local 662 filed three
    separate unfair labor practice charges. After a hearing
    in May 2008, Administrative Law Judge (“ALJ“) Paul
    Bogas issued a decision in November 2008 finding that
    Loparex had violated the Act in several ways: by promul-
    gating its bulletin board policy because of antiunion
    animus; by announcing unlawfully broad constraints on
    employee communications relating to unionization; and
    by treating shift leaders as though they were super-
    visors under the Act. Loparex filed exceptions to all
    but one of the ALJ’s findings. (The ALJ also found that
    Production Manager Todd Dennison violated section
    8(a)(1) of the Act in June 2007 when he informed a group
    of employees that they were prohibited from speaking
    about union organizing at work. Since Loparex did not
    4                                     Nos. 09-2187, 09-2289
    contest this conclusion before the Board, we summarily
    enforce the ALJ’s order on this issue. See NLRB v. Alwin
    Mfg. Co., 
    78 F.3d 1159
    , 1162 (7th Cir. 1996)). The Board
    affirmed the ALJ’s findings of fact and conclusions of
    law for the most part, but it wrote separately on the
    issue of shift leaders’ status as statutory supervisors.
    Loparex now petitions this court requesting that we set
    aside the Board’s decision, and the Board cross-petitions
    to obtain an order enforcing its decision.
    II
    Our review of the Board’s decision is deferential. We
    accept its factual findings if they are supported by sub-
    stantial evidence, and its legal conclusions “unless they are
    irrational or inconsistent with the [Act].” Ryder Truck
    Rental v. NLRB, 
    401 F.3d 815
    , 825 (7th Cir. 2005); see also
    Brandeis Machinery & Supply Co. v. NLRB, 
    412 F.3d 822
    , 829
    (7th Cir. 2005); 
    29 U.S.C. § 160
    (e). Our focus is on the
    Board’s decision; as a practical matter, we look to the
    ALJ’s opinion on issues where the Board affirmed with-
    out additional comment.
    A. Loparex’s Bulletin Board Policy
    The Board adopted the ALJ’s conclusion that Loparex
    violated section 8(a)(1) when, against a backdrop of a
    corporate policy that permitted employees to use the
    bulletin boards for a variety of non-work purposes, it
    shut off access in response to union organizing activity.
    As support for his finding that the purpose of the new
    Nos. 09-2187, 09-2289                                      5
    policy was to inhibit the organization campaign, the ALJ
    pointed to a confrontational meeting between manage-
    ment and a union supporter that took place a few months
    before Loparex issued the policy. The evidence of an
    upsurge in prounion activity following that meeting, in
    the ALJ’s view, supported an inference of Loparex’s
    knowledge and distaste for the employees’ organizing
    efforts. This aversion played a key role in the formulation
    of the bulletin board policy. Loparex objects that there is
    only a weak temporal connection between the earlier
    confrontation and the eventual issuance of the new
    bulletin board policy. Loparex adds that the evidence
    does not establish that the company was even aware
    that prounion materials had been posted on company
    bulletin boards.
    Section 8(a)(1) offers employees broad protection from
    employers’ attempts “to interfere with, restrain, or coerce
    employees in the exercise” of their statutory rights to
    organize under section 7. 
    29 U.S.C. § 158
    (a)(1); 
    29 U.S.C. § 157
    . Yet this statutory entitlement does not give em-
    ployees an unfettered right to use a company’s bulletin
    boards to stir up interest in unionization. See Fleming
    Companies, Inc. v. NLRB, 
    349 F.3d 968
    , 975 (7th Cir. 2003);
    Guardian Indus. Corp. v. NLRB, 
    49 F.3d 317
    , 318 (7th Cir.
    1995). The critical question is whether the employer is
    discriminating against union messages, or if it has a
    neutral policy of permitting only certain kinds of postings
    (for example, those related directly to work rules). Discrim-
    inatory interference with union organizers’ access to
    bulletin boards is forbidden. Fleming, 
    349 F.3d at 975
    ; J.C.
    Penney Co., Inc. v. NLRB, 
    123 F.3d 988
    , 997 (7th Cir. 1997).
    6                                      Nos. 09-2187, 09-2289
    Though it is undisputed that Loparex’s new bulletin
    board policy was facially neutral and nondiscriminatorily
    applied, an employer may violate the Act if its motiva-
    tion for a new policy is its hostility toward prounion
    activity. See NLRB v. Village IX, Inc., 
    723 F.2d 1360
    , 1365-66
    (7th Cir. 1983) (finding the employer’s adoption of a
    rule was motivated by an antiunion position and thus
    violated the Act); Brandeis Machinery & Supply Co. v. NLRB,
    
    412 F.3d 822
    , 834-35 (7th Cir. 2005) (explaining that
    under section 8(a)(1), facially nondiscriminatory “policies
    may not target, either through design or enforcement,
    activity protected by the Act”) (emphasis added); see also
    NLRB v. Wolfe Electric Co., 
    314 F.3d 325
    , 328 (8th Cir. 2002);
    Four B Corp. v. NLRB, 
    163 F.3d 1177
    , 1184 (10th Cir. 1998);
    Roadway Exp., Inc. v. NLRB, 
    831 F.2d 1285
    , 1290 (6th Cir.
    1987).
    If an employer is alleged to have acted with an antiunion
    purpose, we apply the analytical framework set forth by
    the Board in Wright Line, a Division of Wright Line, Inc., 
    251 NLRB 1083
     (1980). See FedEx Freight East, Inc. v. NLRB,
    
    431 F.3d 1019
    , 1027-28 (7th Cir. 2005); Roadway Exp., 
    831 F.2d at 1290
    . Under Wright Line, the Board must make
    a prima facie showing that “antiunion animus was a sub-
    stantial or motivating factor in the employer’s decision.”
    NLRB v. Joy Recovery Technology Corp., 
    134 F.3d 1307
    , 1314
    (7th Cir. 1998). Once the Board does so, the burden shifts
    to the employer to prove that it had a legitimate business
    reason for making its decision. 
    Id.
     Since Loparex did not
    offer any explanation for why it adopted the new bulletin
    board policy, the case hinges on whether the Board ade-
    quately proved its prima facie case.
    Nos. 09-2187, 09-2289                                    7
    In determining whether an employer acted improperly,
    the Board is entitled to rely upon circumstantial evidence.
    See SCA Tissue North America LLC v. NLRB, 
    371 F.3d 983
    ,
    988-89 (7th Cir. 2004). In concluding that Loparex was
    opposed to the unionization campaign, the ALJ focused
    on a series of events that took place during the
    months leading up to Loparex’s announcement of the
    bulletin board policy. In January or February of 2007,
    Schillinger, a production operator at the plant, spoke with
    Randy Risler, who worked in human resources, about
    the employees’ dissatisfaction with newly enacted atten-
    dance and pay policies. Id. at 104. Schillinger was
    someone Risler knew. In 2006, Schillinger had been fired
    by Douglas-Hanson, the previous owner of the plant,
    for his union organizing activity, but he had recently
    been reinstated pursuant to the settlement of an unfair
    labor practices charge. In early February 2007, a week
    after Schillinger’s conversation with Risler, Todd Bloom
    and Jason Carlson, both supervisors and former Douglas-
    Hanson employees, called Schillinger into an office
    to discuss what Schillinger said to Risler. After ques-
    tioning Schillinger, Bloom called in Risler and Lisa Koats,
    the human resources manager. At some point in the
    conversation, Schillinger pointed out that everyone in the
    room knew his history of union organizing, and Koats
    responded, “That’s all water under the bridge.” Schillinger
    then asked what he should do if people asked him
    about unionization and Koats said, “[Y]ou’re to just work
    and not talk about the Union.”
    Beginning in early February 2007, prounion activity at
    the Hammond plant slowly began to increase. Schillinger
    8                                     Nos. 09-2187, 09-2289
    started to wear union buttons and hats to work, and he
    donned a union t-shirt for about half of his workdays. On
    March 9, 2007, a group of employees posted a prounion
    flyer on one of Loparex’s many company bulletin boards.
    The flyer was taken down shortly after it was posted;
    thereafter, it was repeatedly reposted and taken down.
    The record does not reveal when these postings and re-
    postings took place, or how many times the flyer was
    replaced, and so we cannot tell whether the flyer was
    displayed on the company bulletin board after March 9.
    These events support the Board’s conclusion that
    Loparex was motivated by antiunion animus when it
    enacted its bulletin board policy. Schillinger’s discussion
    of unions with Loparex’s management and his prounion
    apparel put the company on notice that union organizing
    efforts at the plant had (re)commenced. Loparex points
    out that there is no evidence indicating that the
    company knew that union activists had placed a flyer on
    one of the many bulletin boards in the plant. Nonetheless,
    the Board was aware that this was a relatively small plant.
    In addition, it was entitled to rely on the suspicious timing
    of the policy announcement, immediately after a three- or
    four-month period in which Loparex witnessed an
    uptick in employees’ organizing efforts. Cf. Brandeis
    Machinery & Supply Co. v. NLRB, 
    412 F.3d 822
    , 835 (7th Cir.
    2005); Great Lakes Warehouse Corp. v. NLRB, 
    239 F.3d 886
    ,
    890 (7th Cir. 2001); NLRB v. Rain-Ware, Inc., 
    732 F.2d 1349
    ,
    1354 (7th Cir. 1984).
    The inference of an antiunion purpose is reinforced
    by the hostility Loparex’s management displayed toward
    Nos. 09-2187, 09-2289                                     9
    Schillinger at the February 2007 meeting. The Board,
    affirming the ALJ, reasonably viewed the circumstances
    leading to the meeting as suspect. Presumably, Risler
    had already tipped off management about Schillinger’s
    opposition to the new policies and thus there was little
    reason to interrogate Schillinger about his conversation
    with Risler. The management officials who called the
    meeting had worked at Douglas-Hanson when
    Schillinger was fired for his union activity. By warning
    Schillinger at the end of the meeting not to speak about
    the union, Koats came dangerously close to illegally
    prohibiting an employee from engaging in prounion
    solicitation during the workday. See NLRB v. Aluminum
    Casting & Engineering Co., 
    230 F.3d 286
    , 293-94 (7th Cir.
    2000) (holding an overbroad no-solicitation rule may
    improperly send the message that employees cannot
    discuss unions during break times). We see no reason
    to second-guess the Board’s conclusion that the
    meeting revealed management’s distaste for a union.
    B. Distribution of Union Literature in the Parking Lot
    In May or early June 2007, Schillinger, Chris Meeker
    and two other employees handed out literature to co-
    workers in the company parking lot and placed union
    literature on car windshields. Shortly after they got
    started, three Loparex officials came out to the parking lot
    and informed them that they were violating company
    policy. The Board endorsed the ALJ’s conclusion that
    Loparex’s restriction on union organizing in the
    company parking lot constituted an unfair labor practice
    under section 8(a)(1).
    10                                     Nos. 09-2187, 09-2289
    In protecting employees’ right to organize, section 8(a)(1)
    of the Act recognizes that employees’ organizing activities
    may substantially interfere with employers’ property
    rights. See St. Margaret Mercy Healthcare Centers v. NLRB,
    
    519 F.3d 373
    , 374 (7th Cir. 2008). Thus, while the Act
    grants employees the right to solicit on behalf of a union-
    ization campaign, the statute also recognizes the em-
    ployer’s interest in maintaining productivity and disci-
    pline. See NLRB v. Babcock & Wilcox Co., 
    351 U.S. 113
     (1956).
    An employer, for example, is entitled to limit or ban
    solicitation in the workplace during work time. See
    NLRB v. Clinton Electronics Corp., 
    284 F.3d 731
    , 739 (7th Cir.
    2002) (citing Republic Aviation v. NLRB, 
    324 U.S. 793
     (1945)).
    An employer may not, however, prohibit all solicita-
    tion in a company parking lot. Loparex contends that this
    is not what it was doing; instead, it argues, it only
    banned the practice of placing flyers on car windshields.
    The Board saw matters differently; it agreed with the
    ALJ’s finding that the Loparex officials were telling the
    employees that they could not distribute any union
    materials in the parking lot even if they were off-duty.
    Because the record provides some support for both posi-
    tions, this was a classic call for the Board. Cf. NLRB v.
    Aluminum Casting & Engineering Co., 
    230 F.3d 286
    , 293-94
    (7th Cir. 2000); Beverly California Corp. v. NLRB, 
    227 F.3d 817
    , 839-40 (7th Cir. 2000).
    We add that even if Loparex had proscribed only distri-
    bution on car windshields, the Board still could have
    found that its policy violated section 8(a)(1). NLRB v.
    Village IX, Inc., 
    723 F.2d 1360
    , 1365-66 (7th Cir. 1983). In
    Nos. 09-2187, 09-2289                                    11
    Village IX, we concluded that an employer engaged in an
    unfair labor practice when it barred several employees
    from placing leaflets under the windshield wipers of cars
    parked in the company lot. 
    Id.
     We explained that “the
    distribution [of leaflets] could not have disrupted the
    company’s work” and “would not have interfered with
    the owners’ property right except in the most technical
    of senses.” Id. at 366. Loparex’s alleged concern that
    distribution on cars would lead to “wholesale littering”
    lacks merit. This concern was never mentioned by com-
    pany officials and there is no evidence indicating that
    litter would have been a problem.
    C. Distribution of Union Buttons in the Lunch Room
    In June 2007, Meeker left a pile of prounion buttons lying
    on a table next to a time clock. On June 20, Todd Dennison
    and Lisa Koats, both members of Loparex’s management
    team, held a meeting with Meeker, Schillinger, and
    another employee about their distribution of the buttons.
    Dennison warned, “I don’t want to catch you passing
    [buttons] out, Okay, I don’t want to see them laying
    around. . . . You can pass them out when you’re outside,
    on your own time, but when you’re here working, you,
    you, need to be working.” The ALJ concluded, and the
    Board agreed, that the prohibition was overbroad
    because employees could have believed they were
    barred from soliciting near the time clock, a non-work
    area, during non-working hours.
    Loparex comes close to conceding that such an expansive
    rule against solicitation on company property would
    12                                     Nos. 09-2187, 09-2289
    violate section 8(a)(1). Our review satisfies us that the
    Board’s position finds support in the evidence. See Alumi-
    num Casting, 
    230 F.3d at 293-94
    . Loparex defends itself in
    this instance by trying to characterize Dennison’s state-
    ment as an anti-clutter order. Company officials, it says,
    are permitted to forbid employees from leaving unat-
    tended piles of buttons on company property. Once
    again, the question is whether an otherwise reasonable
    policy operates in practice in a way that discriminates
    against union organizers. See Fleming Companies, Inc. v.
    NLRB, 
    349 F.3d 968
    , 975 (7th Cir. 2003). Loparex contends
    that its prohibition was nondiscriminatorily applied, and
    it asserts that company officials were acting within
    their rights in banning the use of company property to
    distribute union buttons.
    Loparex’s argument on this point is terse and largely
    unsupported by pertinent authority, and so we were
    concerned that it might be forfeited. See White Eagle Co-op
    Ass’n v. Conner, 
    553 F.3d 467
    , 476 n.6 (7th Cir. 2009).
    Loparex does, however, refer us to a case that directly
    addresses the company-property issue. See Guard Publish-
    ing, 
    351 NLRB 70
     (2006), enf’d in part, 
    571 F.3d 53
     (D.C. Cir.
    2009). The Board argues that Loparex cannot invoke Guard
    Publishing because it failed to raise the case before the
    Board properly. See Production Workers Union of Chicago
    v. NLRB, 
    161 F.3d 1047
    , 1054 (7th Cir. 1998) (explaining
    that appellate court cannot review an argument first
    raised on appeal unless “extraordinary circumstances” are
    present). Loparex did, however, present its company-
    property argument in its opening brief before the Board.
    This is enough to preserve the point in these enforcement
    Nos. 09-2187, 09-2289                                    13
    proceedings and to allow Loparex to rely on this theory
    even though the particular case was first mentioned in
    its reply brief.
    Nevertheless, this is of no help to Loparex. The Board
    affirmed the ALJ’s finding that the no-distribution rule
    was overly broad, because Dennison and Koats did not
    state that they were disallowing distribution only in
    work areas of the facility. By purporting to restrict dis-
    tribution in non-work areas, during break times, they
    stepped over the line. In so finding, the Board was fol-
    lowing long-established policy to the effect that “a rule is
    presumptively invalid if it prohibits distribution on the
    employees’ own time.” See Our Way, Inc., 
    268 NLRB 394
    ,
    394 (1983). The ALJ also noted that at the same time
    Loparex was complaining about the union materials, it
    permitted the distribution in the lunchroom of some
    coupons for a local fast-food restaurant, suggesting that
    its real concern was neither clutter nor limitation to job-
    related materials.
    D. Shift Leaders as Supervisors under the Act
    In June or July 2007, Loparex announced to the shift
    leaders working at the Hammond plant that they were
    “supervisors” within the meaning of the Act and thus
    prohibited from engaging in union activities. See NLRB
    v. Kentucky River Community Care, Inc., 
    532 U.S. 706
    , 708
    (2001). Section 2(11) of the Act states:
    The term ‘supervisor’ means any individual having
    authority, in the interest of the employer, to hire,
    14                                     Nos. 09-2187, 09-2289
    transfer, suspend, lay off, recall, promote, discharge,
    assign, reward, or discipline other employees, or
    responsibly to direct them, or to adjust their griev-
    ances, or effectively to recommend such action, if in
    connection with the foregoing the exercise of such
    authority is not of a merely routine or clerical nature,
    but requires the use of independent judgment.
    
    29 U.S.C. § 152
    (11). To prove that employees qualify as
    statutory supervisors, an employer has the burden to
    prove: “(1) [the employees] hold the authority to engage
    in any 1 of the 12 listed supervisory functions, (2) their
    ‘exercise of such authority is not of a merely routine or
    clerical nature, but requires the use of independent judg-
    ment,’ and (3) their authority is held ‘in the interest of the
    employer.’ ” Kentucky River, 
    532 U.S. at 713
     (citation
    omitted). Loparex argues that shift leaders qualify as
    supervisors because they have the authority to responsibly
    direct employees and assign them work.
    Before we address each of these contentions, it is
    helpful to provide a general description of the role shift
    leaders play at the Hammond plant. Each shift leader is
    part of a small crew typically comprised of five or so
    workers. Shift leaders work directly under a team
    manager, who is generally assigned to the same 12-hour
    shift. While shift leaders, like other crew members, operate
    the production machinery, they also help out other crew
    members, answer questions, and provide needed supplies.
    In addition, shift leaders are required to assign crew
    members to various machines in order to accomplish the
    tasks allocated to the crew in the daily job priority sheet.
    Nos. 09-2187, 09-2289                                      15
    1.   Authority responsibly to direct
    To establish that an employee has the authority responsi-
    bly to direct another co-worker, the employee must be
    accountable for the co-worker’s performance. See NLRB v.
    Adam & Eve Cosmetics, Inc., 
    567 F.3d 723
    , 728 (7th Cir.
    1977). In addition to accountability, the Board requires that
    an employee must have “authority to take corrective
    action, if necessary” and be subject to negative conse-
    quences for her failure to take such action. Oakwood
    Healthcare, Inc., 
    348 NLRB 686
    , 692 (2006). The Board
    adopted the ALJ’s conclusion that Loparex’s shift
    leaders were not empowered to take corrective action.
    Loparex argues that Oakwood Healthcare was wrongly
    decided because the Board inappropriately read into the
    statute an additional requirement that the employee
    must have the capacity to take corrective actions. The
    Board asserts that Loparex has forfeited any argument
    directly challenging the case. See 
    29 U.S.C. § 160
    (e). While
    Loparex argued to the Board that its shift leaders did
    direct their co-workers, it neither attacked Oakwood
    Healthcare nor raised the issue of corrective action. This
    may well amount to a forfeiture of Loparex’s argument
    on appeal. See Masiongale Electrical-Mechanical, Inc. v.
    NLRB, 
    323 F.3d 546
    , 555 (7th Cir. 2003). Yet even if
    Loparex did preserve the issue, we are unpersuaded by
    its argument.
    The Board’s position, in Loparex’s opinion, is nonsensi-
    cal, because the ability to discipline is a statutorily recog-
    nized supervisory power. Assuming that “corrective
    action” is not different from disciplinary action, Loparex
    16                                    Nos. 09-2187, 09-2289
    argues that the Oakwood Healthcare rule effectively elimi-
    nates “responsible direction” as a separate basis for
    establishing an employee’s supervisory status. Loparex
    contends that the Board applied the “corrective action”
    requirement in a manner that conflated the idea of disci-
    pline and responsible direction.
    The most we can say is that the reference to responsible
    direction in section 2(11) of the Act may be ambiguous.
    We thus owe Chevron deference to the Board’s decision
    in Oakwood Healthcare. See Chevron U.S.A., Inc. v. National
    Resources Defense Counsel, Inc., 
    467 U.S. 837
     (1984); NLRB v.
    GranCare, Inc., 
    170 F.3d 662
    , 666 (7th Cir. 1999) (en banc)
    (according Chevron deference to Board’s interpretation of
    the “independent judgment” requirement in section 2(11)).
    Though Loparex contends that Oakwood Healthcare’s
    concept of “corrective action” is fundamentally flawed,
    we find it a permissible interpretation of the pertinent
    statutory language. The Board is entitled to take the
    position that it would be incongruous to hold someone
    accountable for the conduct of others she could not control
    or correct. See NLRB v. Don’s Olney Foods, Inc., 
    870 F.2d 1279
    , 1284 (7th Cir. 1989) (holding that responsible direc-
    tion implies the need for accountability).
    At the same time, in applying the “corrective action”
    requirement, the Board must be careful to distinguish
    between corrective and disciplinary action in order to
    ensure that each part of section 2(11) has meaning. Yet,
    despite Loparex’s claims to the contrary, there is little
    indication that it equated these two forms of supervisory
    power. Instead, the Board accepted the ALJ’s finding that
    Nos. 09-2187, 09-2289                                     17
    shift leaders lacked authority to take corrective action
    because they were unable to control their crew members
    in any meaningful sense. The ALJ pointed out, for
    example, that if a member of a shift leader’s crew is
    insubordinate, the shift leader’s only option is to submit a
    factual report detailing the issue to her team manager
    for consideration. The ALJ found that this meager re-
    porting power could not be construed as a form of correc-
    tive action.
    Since Loparex did not provide any other evidence
    indicating that shift leaders had authority to control crew
    members, the Board did not need to illustrate the dif-
    ference between corrective and disciplinary action. We add
    that we have no trouble imagining separate domains
    for these two kinds of action. For instance, an employee
    might be said to take corrective action if she requires a co-
    worker to stay late to complete a project that has fallen
    behind schedule. Placing this small burden on the em-
    ployee, however, would not amount to a disciplinary
    action that could affect the employee’s job status.
    We are satisfied that substantial evidence supports
    the Board’s determination that shift leaders do not
    possess the ability to take corrective action. This court
    owes deference to the Board when it is engaged in the
    difficult task of distinguishing between “true supervisors”
    and other employees under section 2(11). See GranCare,
    
    170 F.3d at 666
    . This type of line-drawing is what the
    Board is for, after all. And the evidence in this case pro-
    vided ample support for the Board’s conclusion that
    shift leaders lack the authority responsibly to direct
    their crew members.
    18                                   Nos. 09-2187, 09-2289
    2.   Authority to assign
    While the Board assumed that shift leaders had the
    authority to assign work to crew members, it also con-
    cluded that shift leaders did not exercise independent
    judgment while assigning the work. See Kentucky River,
    
    532 U.S. at 713
     (distinguishing “independent judgment”
    from the exercise of authority that is “merely routine
    or clerical [in] nature”). In applying the concept of inde-
    pendent judgment, the Board focused on the manner
    in which shift leaders assign work to their crew members.
    The shift leaders refer to the daily priority sheet, which
    “lists the jobs to be run on each machine in order of
    importance and when those jobs are due.” Only two
    shift leaders testified about their specific approach to
    assignments. Meeker reported that he used three basic
    strategies: (1) making sure people rotated to different
    machines; (2) allowing a person to continue working on
    the same machine if a project took more than a day; and
    (3) random assignment. Meeker did not take into
    account the personal characteristics of his co-workers
    when assigning work. Tim Monicken had a different
    system: he assigned higher priority work to more efficient
    workers. The Board gave no weight to Monicken’s testi-
    mony, however, because he was no longer a shift leader
    at the time of the hearing and he never professed to
    speak about how other shift leaders assigned work. Left
    with a meager record showing only Meeker’s approach
    to assigning work, the Board decided that this was not a
    position that required the exercise of independent judg-
    ment.
    Nos. 09-2187, 09-2289                                   19
    Loparex contends that the Board should not have
    ignored Monicken’s testimony. Yet Loparex is unable to
    point to any evidence that any other shift leaders
    adopted Monicken’s practice of assigning work based
    upon workers’ relative productivity. In fact, the ALJ
    specifically found that Monicken’s job as shift leader
    differed in many respects from other shift leaders. Since
    Loparex had the burden to demonstrate independent
    judgment, we conclude that substantial evidence
    supports the Board’s decision to focus on Meeker’s ap-
    proach to work assignments.
    Retreating to Meeker’s testimony, Loparex contends that
    it is irrelevant that Meeker failed to exercise independent
    judgment. As long as Meeker was empowered to make
    independent judgments about work assignments, Loparex
    asserts that he qualifies as a supervisor under section
    2(11). Cf. Dreyer’s Grand Ice Cream, Inc. v. NLRB, 
    140 F.3d 684
    , 687 (7th Cir. 1998) (collecting cases that hold
    that the actual exercise of supervisory power is not neces-
    sary to qualify as a supervisor under section 2(11)).
    While it is possible that a statutory supervisor need only
    have the authority to exercise one of the supervisory
    powers enumerated in section 2(11), this does not suffice
    for the exercise of independent judgment. See NLRB v.
    Don’s Olney Foods, Inc., 
    870 F.2d 1279
    , 1283-84 (7th Cir.
    1989). In Don’s Olney Foods, even though an employee
    had the ability to assign workers to different tasks, we
    found this authority insufficient because most of the
    assignments were dictated by informal routine. 
    Id.
     Simi-
    larly, Meeker’s method of assignment was routine and
    clerical in nature; therefore, the Board acted within its
    20                                 Nos. 09-2187, 09-2289
    authority when it concluded that Loparex’s shift leaders
    did not exercise the requisite independent judgment
    to qualify as supervisors under the Act.
    ***
    We conclude that the Board’s order should be
    E NFORCED in its entirety.
    12-31-09
    

Document Info

Docket Number: 09-2289

Judges: Wood

Filed Date: 12/31/2009

Precedential Status: Precedential

Modified Date: 9/24/2015

Authorities (27)

four-b-corp-doing-business-as-price-chopper-petitionercross-respondent , 163 F.3d 1177 ( 1998 )

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St. Margaret Mercy Healthcare Centers v. National Labor ... , 519 F.3d 373 ( 2008 )

National Labor Relations Board v. Village Ix, Incorporated, ... , 723 F.2d 1360 ( 1983 )

National Labor Relations Board v. Alwin Manufacturing ... , 78 F.3d 1159 ( 1996 )

WHITE EAGLE CO-OP. ASS'N v. Conner , 553 F.3d 467 ( 2009 )

National Labor Relations Board v. Joy Recovery Technology ... , 134 F.3d 1307 ( 1998 )

Masiongale Electrical-Mechanical, Inc. v. National Labor ... , 323 F.3d 546 ( 2003 )

National Labor Relations Board v. Don's Olney Foods, Inc., ... , 870 F.2d 1279 ( 1989 )

Beverly California Corp., F/k/a Beverly Enterprises, ... , 227 F.3d 817 ( 2000 )

Guardian Industries Corp. v. National Labor Relations Board , 49 F.3d 317 ( 1995 )

national-labor-relations-board-and-united-food-and-commercial-workers , 170 F.3d 662 ( 1999 )

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