N.L.R.B. v. Fuelgas Co., Inc.

Decision Date23 March 1982
Docket NumberNo. 80-1760,80-1760
Citation674 F.2d 529
Parties109 L.R.R.M. (BNA) 3242, 93 Lab.Cas. P 13,354 NATIONAL LABOR RELATIONS BOARD, Petitioner, v. FUELGAS COMPANY, INC., Respondent.
CourtU.S. Court of Appeals — Sixth Circuit

Elliott Moore, Deputy Associate Gen. Counsel, Andrew Tranovich, N. L. R. B., Washington, D. C., for petitioner.

John M. Miller, Findlay, Ohio, for respondent.

Before MARTIN, Circuit Judge, WEICK, Senior Circuit Judge, and CHURCHILL, District Judge. *

PER CURIAM.

In this case, the NLRB seeks enforcement of a bargaining order issued against Fuelgas Company, Inc. Fuelgas, a distributor of propane gas, maintains offices in 26 Michigan communities. In 1979, Local 486, a Teamsters affiliate, organized the employees at Fuelgas' West Branch and Rose City facilities and sought certification as their collective bargaining representative. Over Fuelgas' objections, the Board determined that these employees constituted an appropriate bargaining unit and ordered an election.

The election, held October 5, 1979, produced a 9-1 Union majority. Fuelgas objected to the election, raising the possibility that the Union's election observer had defaced a sample ballot posted in the West Branch employees' room. The Regional Director investigated this incident, found that the Union's election observer was not in fact responsible for the defacement, and certified the Union. The Board denied a request by the employer for review of the Regional Director's decision. Fuelgas subsequently refused to bargain with the Union and the Board issued the bargaining order presently in dispute.

Fuelgas advances two reasons for its continued refusal to bargain. First, it contends, the only appropriate bargaining unit in its case would consist of all Fuelgas employees at all 26 offices. It claims that the Board abused its discretion in certifying a bargaining unit limited to the employees of two "branch" offices. Second, Fuelgas argues that it is entitled to an evidentiary hearing before the Board on its election objection.

We deal first with the contention that the bargaining unit as certified is inappropriate. It is axiomatic that the Board has broad discretion in bargaining unit determinations. Packard Motor Co. v. NLRB, 330 U.S. 485, 491, 67 S.Ct. 789, 793, 91 L.Ed. 1040 (1947); South Prairie Construction Co. v. Local 627, 425 U.S. 800, 805-806, 96 S.Ct. 1842, 1844-1845, 48 L.Ed.2d 382 (1976). It is also well-settled that the question on review is whether the certified unit "is an appropriate unit, and not whether it is the appropriate unit or if another unit might have been more suitable." Michigan Hospital Services Corp. v. NLRB, 472 F.2d 293, 294 (6th Cir. 1972).

In the present case, the Board has shown that the managers of Fuelgas' branch offices enjoy considerable autonomy from the central office in labor relations matters such as hiring, discipline, work assignments, salary increases, and promotions. The workers at the various branches have little contact with one another and are seldom transferred from one branch to another. Thus, there is ample support for the Board's conclusion that all Fuelgas offices need not be included in an "appropriate" bargaining unit. See Union Savings & Trust Co. v. NLRB, 643 F.2d 1249, 1251 (6th Cir. 1981); Meijer v. NLRB, 564 F.2d 737, 740-41 (6th Cir. 1977); Prudential Insurance Co. v. NLRB, 529 F.2d 66, 68 (6th Cir. 1976). Furthermore, the Board properly determined that the West Branch and Rose City offices together are an appropriate "single plant" unit, inasmuch as they are only 14 miles apart and are under the control of a single branch manager whose policies apply equally at both locations.

Fuelgas' second argument on appeal is similarly without merit. In order to obtain an evidentiary hearing on election objections, the moving party must raise "substantial and material factual issues" which, if credited, would warrant setting aside the election. 29 C.F.R. § 102.69(d). "In order to raise 'substantial and material factual issues', it is necessary for a party to do more than question the interpretation and inferences placed upon the facts by...

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    ...company and the Union served to lessen the rumors effect.10 See Eliason Corp. v. NLRB, 688 F.2d 22 (6th Cir.1982); NLRB v. Fuelgas Co., Inc., 674 F.2d 529 (6th Cir.1982); Kusan Mfg. Co. v. NLRB, 673 F.2d 150 (6th Cir.1980); ATR Wire Cable Co. v. NLRB, 671 F.2d 188 (6th Cir.1982); NLRB v. Fo......
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