N.L.R.B. v. Pilot Freight Carriers, Inc.

Decision Date11 October 1979
Docket NumberNo. 79-1174,79-1174
Citation604 F.2d 375
Parties102 L.R.R.M. (BNA) 2579, 87 Lab.Cas. P 11,645 NATIONAL LABOR RELATIONS BOARD, Petitioner, v. PILOT FREIGHT CARRIERS, INC., and BBR of Florida, Inc., Respondents. Summary Calendar. *
CourtU.S. Court of Appeals — Fifth Circuit

Elliott Moore, Deputy Associate, Gen. Counsel, Carol DeDeo, Supervisor, Patricia Matthews, Atty., N.L.R.B., Washington, D.C., for petitioner.

Blakeney, Alexander & Machen, Whiteford S. Blakeney, J. W. Alexander, Jr., Charlotte, N.C. for Pilot Freight Carriers, Inc.

APPLICATION FOR ENFORCEMENT OF A SUPPLEMENTAL ORDER OF THE

NATIONAL LABOR RELATIONS BOARD

Before BROWN, Chief Judge, and KRAVITCH and JOHNSON, Circuit Judges.

FRANK M. JOHNSON, Jr., Circuit Judge:

On March 25, 1976, the National Labor Relations Board issued a decision and order against respondents Pilot Freight Carriers, Inc., and BBR of Florida, Inc. (referred to collectively as "the Company"), finding that the Company had violated Section 8(a)(3) of the National Labor Relations Act, 29 U.S.C. §§ 151, Et seq., by discharging Melvynn Johnston for protected union activities and that a strike against the Company which began two weeks later was an unfair labor practice strike, in part because of Johnston's discharge. The Board ordered the Company to reinstate Johnston and to reimburse him for lost earnings. On May 21, 1976, the Board filed an application for enforcement of its order with this Court. This Court subsequently granted a motion to withdraw the application for enforcement after the parties entered into a stipulation in which the Company "waive(d) its right to contest in any future proceeding in this Court any of the Board's findings and conclusions with respect to the unfair labor practices alleged and found . . . to have been committed against Melvynn Johnston" and further agreed that "if Pilot seeks judicial review of a subsequent Board decision awarding backpay to Melvynn Johnston . . ., it is understood that Pilot will be precluded in such proceeding from challenging the propriety of the unfair labor practice findings or remedial provision in the Board's original decision and order." 1 Because the parties were unable to agree on the amount of backpay to which Johnston was entitled, a hearing was held on September 13, 1977, in which the Board claimed that backpay in the amount of $5,110.89 plus interest was owing to Johnston for the period from February 7, 1974, when he was discharged, to September 9, 1976, when he was reinstated. The Administrative Law Judge concluded that an order should be issued in accordance with the Board's specification. On September 26, 1978, the Board issued its decision and order, adopting without modification the Administrative Law Judge's proposed order. The case is now before the Court for enforcement of that supplemental order.

The Board enjoys broad, discretionary authority to formulate a remedy where an unfair labor practice has been committed. N. L. R. B. v. J. H. Rutter-Rex Mfg. Co., 396 U.S. 258, 90 S.Ct. 417, 24 L.Ed.2d 405 (1969). " When the Board . . . makes an order of restoration by way of backpay, the order 'should stand unless it can be shown that the order is a patent attempt to achieve ends other than those which can fairly be said to effectuate the policies of the Act.' " N. L. R. B. v. Seven-Up Bottling Co., 344 U.S. 344, 346, 73 S.Ct. 287, 289, 97 L.Ed. 377 (1953). Upon the record in this case, we cannot say that the Board has overstepped its authority.

Where backpay is in dispute, the sole burden on the Board is to show the gross backpay due the claimant. J. H. Rutter-Rex Mfg. Co. v. N. L. R. B., 473 F.2d 223 (5th Cir. 1973); Marine Welding & Repair Works v. N. L. R. B., 492 F.2d 526 (5th Cir. 1974). While the law is clear that actual interim earnings and losses willfully incurred will be deducted from gross pay, Phelps Dodge v. N. L. R. B., 313 U.S. 177, 197-200, 61 S.Ct. 845, 85 L.Ed. 1271 (1941), the burden is on the employer to prove such earnings or losses. Failure to mitigate damages by a refusal to search for alternative work or by a refusal to accept substantially equivalent employment is an affirmative defense. N. L. R. B. v. Mooney Aircraft, Inc., 366 F.2d 809 (5th Cir. 1966); N. L. R. B. v. Miami Coca-Cola Bottling Co., 360 F.2d 569 (5th Cir. 1966). However, the employer does not meet its burden by proving that the employee failed to find interim employment. The law only requires of the employee "reasonable exertions in this regard, not the highest standard of diligence." N. L. R. B. v. Arduini Mfg. Corp., 394 F.2d 420, 423 (1st Cir. 1968); N. L. R. B. v. Miami Coca-Cola Bottling Co., supra.

The record supports the Board's conclusion that the Company did not carry its burden. The Company argues that Johnston willfully withdrew from the labor market during the more than nine weeks that he participated in the trial of the unfair labor practice case underlying this appeal. The time spent in trial, the Company contends, is time Johnston could have spent working and receiving wages. While that may be true, it does not establish that Johnston refused either to seek employment or to accept it. Moreover, Johnston's attendance at the unfair labor practice trial was not "voluntary." Not only was he subpoenaed but, more importantly, his statutory rights were at stake in that proceeding. If his presence was not "voluntary," then his participation was not a willful withdrawal from the labor market. Whether or not his participation in the litigation was itself a search for employment, as the Board argued, we need not decide, the law is clear that an employee who has been the target of an unfair labor practice need not choose between mitigation of damages and the vindication of his statutory rights. N. L. R. B. v. Madison Courier, Inc., 153 U.S.App.D.C. 232, 242-245, 472 F.2d 1307, 1317-1320 (D.C.Cir.1972). 2 For that portion of the backpay period when Johnston was unquestionably free to work, the Company does not deny that he accepted employment and thereby reduced the amount of backpay owed him.

The Company further contends that the Board's order should be denied enforcement because the Administrative Law Judge prevented it from proving that Johnston removed himself from the labor market by striking against the Company. The Company relies on the holding in N. L. R. B. v. Rogers Mfg. Co., 406 F.2d 1106, 1110 (6th Cir. 1969), that "the pro-union activity of an unlawfully discharged employee during a subsequently called economic strike is relevant to the determination of the appropriate...

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  • N.L.R.B. v. Haberman Const. Co.
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    ...v. J. H. Rutter-Rex Manufacturing Co., 396 U.S. 258, 262-63, 90 S.Ct. 417, 419-420, 24 L.Ed.2d 405 (1969); NLRB v. Pilot Freight Carriers, Inc., 604 F.2d 375, 377 (5th Cir. 1979).10 Section 10(c) of the Act, 29 U.S.C. § 160(c) (1976), requires the Board upon finding that an unfair labor pra......
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    ...awards. See Phelps Dodge Corp. v. NLRB, 313 U.S. 177, 197-200, 61 S.Ct. 845, 853-55, 85 L.Ed. 1271 (1941); NLRB v. Pilot Freight Carriers, Inc., 604 F.2d 375, 377 (5th Cir. 1979); NLRB v. Mercy Peninsula Ambulance Serv., Inc., 589 F.2d 1014, 1017-1018 (9th Cir. 1979). However, in formulatin......
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    ...also NLRB v. J. H. Rutter-Rex Mfg. Co., 396 U.S. 258, 262-63, 90 S.Ct. 417, 419-20, 24 L.Ed.2d 405 (1969); NLRB v. Pilot Freight Carriers, Inc., 604 F.2d 375, 377 (5th Cir. 1979). The Board's duty under § 10(c) is to make "the employees whole and thus restor(e) the economic status quo that ......
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    ...are proper setoffs. Dk. No. 572 at 29 n. 5 (citing Alfred M. Lewis, Inc. v. NLRB, 681 F.2d 1154 (9th Cir.1982); NLRB v. Pilot Freight Carriers, Inc., 604 F.2d 375 (5th Cir.1979)). C. Severance Plaintiffs also concede that severance payments made by Morrell are proper setoffs against the dam......
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