International Brotherhood of Teamsters, Chauffeurs, Warehousemen and Helpers of America, Local Union 959

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IN THE MATTER OF INTERNATIONAL BROTHERHOOD OF TEAMSTERS, CHAUFFEURS, WAREHOUSEMEN AND HELPERS OF AMERICA, LOCAL UNION 959 CONSENT ORDER, ETC., IN REGARD TO ALLEGED VIOLATION OF THE FEDERAL TRADE COMMISSION ACT Docket C-2963. Complaint. May 9, 1979 - Decision. May 9, 1979 This consent order, among other things, requires an Anchorage. Alaska labor union local to cease entering into agreements or understandings which restrict signatory construction companies to deal only with subcontractors who agee with the same terms and conditions binding between the union and the contractors. Additionally, the order prohibits the local from taking any action that would discriminate or economically injure non-compliers. Appearances For the Commission: Stevan D. Phillips. For the respondent: George H Davies, Seattle, Wash. COMPLAINT Pursuant to the provisions of the Federal Trade Commission Act, and by virtue of the authority vested in it by said Act, the Federal Trade Commission, baving reason to believe that the above-named respondent has violated Section 5 of the Act, and it appearing to the Commission that a proceeding by it in respect thereof would be in the public interest, hereby issues its complaint stating its charges in that respect as follows:

PAR. 1. The International Brotherhood of Teamsters, Chauffeurs, Warehousemen and Helpers of America, Local Union 959 (hereinafter sometimes referred to as "respondent" or "Local 959") is an unincorporated labor association, with its principal offce and place of business located at 1200 Airport Heights Road, Anchorage Alaska. Membership of respondent consists of approximately 15 000 individuals who are engaged as employees in various occupations in Alaska.

PAR. 2. Respondent now and for some time last past, has been engaged in the representation of its members, including the conduct of negotiations and execution of agreements with various employers engaged in the construction businesses. In the course of its activities, respondent has engaged in various acts and practices which are in or ..u FEDERAL TRADE COMMISSION DECISIONS Decision and Order 93 F. T. affecting interstate commerce, within the meaning of the Federal Trade Commission Act.

PAR. 3. Respondent has ageed with certin employers engaged in the construction business, including members of the Alaska Chapter of the Associated General Contractors of America, Inc. to prevent or hinder competition among subcontractors or contractors. Such agreements provide, for work within the jurisdiction of respondent, that:

A. the employer engaged in the construction business shall not subcontract any work, except to subcontractors who agree to perform the work in accordance with all the terms and conditions of the ageement;

B. the employer engaged in the construction business shall assure that subcontractors become signatory to the agreement before the subcontractors perform any work for the business; C. members of the bargaining unit represented by respondent shall not perform any work for other employers engaged in the construction business, except in accordance with the terms and conditions of the ageement.

PAR. 4. As a result of these agreements, subcontractors are foreclosed from or restricted in competing for work offered by employers engaged in the construction business having such an ageement with respondent.

PAR. 5. The aforementioned acts and practices constitute unfair Ilethods of competition in violation of Section 5(a) of the Federal Tra.de Commission Act.

DECISION AND ORDER The Federal Trade Commission having initiated an investigation of certain acts and practices of the respondent named in the caption hereof, and respondent having been furnished thereafter with a copy of a draft of complaint which the Seattle Regional Offce proposed to present to the Commission for its consideration and which, if issued by the Commission, would charge respondent with violation of the Federal Trade Commission Act; and The respondent and counsel for the Commission having thereafter executed an agreement containing a consent order, an admission by the respondent of all the jurisdictional facts set forth in the aforesaid draft of complaint, a statement that the signing of said agreement is for settlement purposes only and does not constitute an admission by respondent that the law has been violated as alleged in such complaint, and waivers and other provisions as required by the Commission s Rules; and 739 Decision and Order The Commission having thereafter considered the matter and having determined that it had reason to believe that the respondent has violated the said Act, and that complaint should issue stating its charges in that respect, and having thereupon accepted the executed consent agreement and placed such agreement on the public record for a period of sixty days, and having duly considered the comments fied thereby by interested persons pursuant to Section 2.34 of its Rules, now in further conformity with the procedure prescribed in Section 2.34 of its Rules, the Commission hereby issues its complaint makes the following jurisdictional findings, and enters the following order:

A. Respondent International Brotherhood of Teamsters, Chauffeurs, Warehousemen, and Helpers of America, Local Union 959 is an unincorporated labor association existing and doing business in the State of Alaska, with its offce and principal place of business located at 1200 Airport Heights Road, Anchorage, Alaska. B. The Federal Trade Commission has jurisdiction of the subject matter of this proceeding and of the respondent, and the proceeding is in the public interest.

ORDER It is ordered, That respondent International Brotherhood of Teamsters, Chauffeurs, Warehousemen and Helpers of America Local Union 959, its successors and assigns, affiliated sub-divisions officers, trustees, employees, agents and members, directly or indirectly through any other form of business organization, shall forthwith cease and desist from:

1. Entering into any agreement or understanding that requires an employer engaged in the construction business to use or deal only with third party businesses who agree to perform work on the same terms and conditions as are agreed to between such employer engaged in the construction business and respondent; 2. Entering into any agreement or understanding with an employer engaged in the construction business that requires a third party business to be signatory to a collective bargaining agreement or other type of agreement that is binding between respondent and such employer engaged in the construction business; 3. Entering into any agreement or understanding with an employer engaged in the construction business that requires respondent to agree to the same terms and conditions of employment with a third party business as are binding between respondent and such employer engaged in the construction business: 4. Taking any action which would discriminate against or Decision and Order 93 F. economically injure those employers engaged in the construction business which deal with third party businesses on terms other than those agreed to between such employer engaged in the construction business and respondent.

Provided. however, That respondent shall not be prohibited from engaging in any legal activity now or later authorized by federal labor law such as the right of respondent to engage in standards picketing, or entering into any agreement authorized by 8(e) of the National Labor Relations Act, 29 U.8.C. 158(e), as long as said agreement is only effective when a member of the bargaining unit represented by respondent is employed and currently working at the site of the construction, alteration, painting or repair of the building, or other work.

It is further ordered, That respondent deliver a copy of this order to each of its present business agents, offcers, trustees, and labor negotiators, and secure from each such person a signed statement acknowledging receipt of said order and that respondent, for a period of three (3) years subsequent to the date of this order, deliver a copy of this order to future business agents, officers, trustees and labor negotiators and secure from each such person a signed statement acknowledging receipt of such order.

It is further ordered, That respondent's Secretary-Treasurer, for a period of three (3) years subsequent to the date of this order annually furnish to the Federal Trade Commission any collective bargaining agreements with any employer engaged in the construction business. It is further ordered. That respondent notify the Commission at least thirty (30) days prior to any proposed change in the organizational status of the respondent such as dissolution, assignment or sale resulting in the emergence of a successor labor organization, or any other change in the respondent which may affect compliance obligations arising out of the order.

It is further ordered, That the respondent herein shall within sixty (60) days after service upon it of this order, file with the Commission a report, in writing setting forth in detail the manner and form in which respondent has complied with this order. 743 Complaint