U.S. Supreme Court
Wallace Corp. v. Labor Board, 323 U.S. 248 (1944)
Wallace Corporation v. National Labor Relations Board
Argued November 15, 16, 1944
Decided December 18, 1944
323 U.S. 248
1. The findings of the National Labor Relations Board in an unfair labor practice proceeding that labor organization "A," which the Board had previously certified as collective bargaining representative, had been set up, maintained, and used by the employer to frustrate the threatened unionization of its plant by labor organization chanrobles.com-red
"B," and that the closed shop contract between A and the employer had been entered into by the employer with knowledge that A intended to use the contract as a means of bringing about the discharge of employees who were members of B by denying them membership in A, were supported by the evidence and supported the Board's order requiring the employer to disestablish A, to cease and desist from giving effect to the closed shop contract, and to reinstate with back pay employees found to have been discharged because of their affiliation with B, and because of their failure to belong to A, as required by the closed shop contract. P. 323 U. S. 251.
2. Having found that there was a subsequent unfair labor practice, the Board was justified in considering evidence as to the employer's conduct both before and after the settlement agreement and certification. P. 323 U. S. 255.
3. Although the proviso of § 8(3) of the National Labor Relations Act permits closed shop agreements, it was nevertheless an unfair labor practice for the employer to execute a closed shop agreement with knowledge that A intended to deny membership to B employees because of their former affiliation with B. P. 323 U. S. 255.
4. A labor organization which has been selected as bargaining representative under the National Labor Relations Act becomes the agent of all the employees, charged with the responsibility of representing their interests fairly and impartially. P. 323 U. S. 255.
5. The employer was not compelled by law to enter into a contract under which it knew that discriminatory discharges would occur, and the record discloses that there was more which the employer could and should have done to prevent the discriminatory discharges even after the contract was executed. P. 323 U. S. 256.
141 F.2d 87 affirmed.
Certiorari, 322 U.S. 721, to review a decree granting enforcement of an order of the National Labor Relations Board, 50 N.L.R.B. 138. chanrobles.com-red