`BEFORE THE NATIONAL LABOR RELATIONS BOARD
`DIVISION OF JUDGES, SAN FRANCISCO OFFICE
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`NP RED ROCK LLC d/b/a
`RED ROCK CASINO RESORT SPA
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`and
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`CLAUDIA MONTANO, an Individual
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`and
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`Cases 28-CA-244484
`28-CA-250950
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`Cases 28-CA-250229
`28-CA-250282
`28-CA-250873
`28-CA-252591
`28-CA-253276
`28-CA-254470
`28-CA-254510
`28-CA-254514
`28-CA-260640
`28-CA-260641
`28-CA-262187
`28-CA-262803
`28-CA-264605
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`Case 28-CA-254155
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`Case 28-CA-254162
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`LOCAL JOINT EXECUTIVE BOARD OF LAS VEGAS
`a/w UNITE HERE INTERNATIONAL UNION
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`NP BOULDER LLC d/b/a
`BOULDER STATION HOTEL & CASINO
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`and
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`LOCAL JOINT EXECUTIVE BOARD OF LAS VEGAS
`a/w UNITE HERE INTERNATIONAL UNION
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`NP PALACE LLC d/b/a
`PALACE STATION HOTEL & CASINO
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`and
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`LOCAL JOINT EXECUTIVE BOARD OF LAS VEGAS
`a/w UNITE HERE INTERNATIONAL UNION
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`NP RED ROCK LLC d/b/a
`RED ROCK CASINO RESORT SPA
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`and
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`LOCAL JOINT EXECUTIVE BOARD OF LAS VEGAS
`a/w UNITE HERE INTERNATIONAL UNION
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`Case 28-RC-252280
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`RESPONDENTS’ POST-HEARING BRIEF
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`Reyburn W. Lominack, III, Esq.
`rlominack@fisherphillips.com
`Michael D. Carrouth, Esq.
`mcarrouth@fisherphillips.com
`FISHER & PHILLIPS LLP
`1320 Main Street, Suite 750
`Columbia, South Carolina 29201
`803-255-0000 (main)
`803-255-0202 (fax)
`
`Counsel for Respondents
`
`September 15, 2021
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`TABLE OF CONTENTS
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`
`INTRODUCTION ................................................................................................................. 1
`I.
`II. STATEMENT OF THE CASE ............................................................................................ 2
`III. STATEMENT OF FACTS ................................................................................................. 10
`A. BACKGROUND ..................................................................................................................... 10
`B. STATION CASINOS HISTORY ............................................................................................... 11
`1. The Fertitta Culture ....................................................................................................... 11
`2. Cultural Shift .................................................................................................................. 12
`3. Recruitment/Retention Problems.................................................................................... 15
`4. Competition Concerns .................................................................................................... 22
`5. The Valerie Murzl Era.................................................................................................... 26
`C. RENEWED FOCUS ON FAMILY ............................................................................................. 30
`1. Overview......................................................................................................................... 30
`2. 2018 Phil Fortino Interview ........................................................................................... 30
`3. Bob Finch Promoted to COO ......................................................................................... 32
`4. 2019 Phil Fortino Interview and Hire............................................................................ 36
`D. 2020 FOCUS ON FAMILY ..................................................................................................... 38
`1. Overview......................................................................................................................... 38
`2. Healthcare ...................................................................................................................... 39
`a. Original plan for 2020 health insurance ..................................................................... 39
`b. Modified plan for 2020 health insurance .................................................................... 41
`c. Salaried medical tiers .................................................................................................. 44
`d. ACA reduction ............................................................................................................ 45
`e. Onsite medical centers ................................................................................................ 46
`3. Retirement ...................................................................................................................... 48
` Overview .................................................................................................................... 48
` Existing plan issues .................................................................................................... 48
` Developing a new plan ............................................................................................... 50
` Proposed plan ............................................................................................................. 56
`4. Leave .............................................................................................................................. 57
`a. Flexible Time Off (FTO) ............................................................................................ 57
`b. Paid Time Off (PTO) .................................................................................................. 57
`c. FMLA leave administration........................................................................................ 58
`5. Attendance ...................................................................................................................... 59
`6. Discipline ....................................................................................................................... 60
`a. Coaching and counseling ............................................................................................ 60
`b. TCCA.......................................................................................................................... 60
`7. Direct Hire ..................................................................................................................... 61
`8. Training .......................................................................................................................... 62
` Overview .................................................................................................................... 62
` Celebration.................................................................................................................. 63
`c. Guest Service Training ............................................................................................... 65
`9. Recognition..................................................................................................................... 67
`10.
`Team Member Assistance Program (TMAP) .............................................................. 69
`
`i
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`Short Term Disability (STD) Insurance...................................................................... 69
`11.
`12. GRA Compensation .................................................................................................... 70
`13. Miscellaneous ............................................................................................................. 71
`14.
`Approval of Final Strategic Plan................................................................................ 72
`E. EXCITING NEWS MEETINGS ................................................................................................ 73
`F.
`IMPLEMENTATION OF NEW BENEFITS ................................................................................. 76
`1. Health Insurance ............................................................................................................ 76
`2. Onsite Medical Centers .................................................................................................. 77
`3. Retirement Plan .............................................................................................................. 78
`4. Training .......................................................................................................................... 79
`5. Recognition..................................................................................................................... 80
`6. Miscellaneous ................................................................................................................. 80
`G. UNION ACTIVITY ................................................................................................................ 81
`1. History of Union Organizing at Station Casinos ........................................................... 81
`2. Fortino’s Union Avoidance Strategy.............................................................................. 83
`3. Union Campaign at Red Rock ........................................................................................ 85
`H. RECALL FOLLOWING COVID-19 SHUTDOWN .................................................................... 86
`1. COVID-19 Pandemic and Unprecedented State-Ordered Shutdown ............................ 86
`2. Yaneth Chavez ................................................................................................................ 90
`3. Teresa Powers ................................................................................................................ 92
`I. MARIA GUTIERREZ ............................................................................................................. 94
`J. CLAUDIA MONTANO ........................................................................................................... 97
`1. Background .................................................................................................................... 97
`2. Union Activity ................................................................................................................. 98
`3. Schedule Change ............................................................................................................ 98
`4. Seniority Change .......................................................................................................... 105
`5. Discipline ..................................................................................................................... 108
`IV. LEGAL ARGUMENT ................................................................................................... 109
`A. SECTION 8(A)(1) ALLEGATIONS ........................................................................................ 109
`1. Alleged Unlawful Promises, Grants, and/or Announcements of Benefits .................... 109
`a. September 19 and 20 meetings (Fortino) ................................................................. 109
`b. December 10 and 11 meetings (Nelson) ................................................................... 112
`i. Allegations ............................................................................................................ 112
`ii. Law ....................................................................................................................... 113
`iii. Analysis................................................................................................................. 121
`(A) The General Counsel failed to prove that Station Casinos had the requisite
`knowledge of union activity to establish an Exchange Parts violation. ................... 121
`(1) Overview ....................................................................................................... 121
`(2) Corporatewide benefit improvements “set into motion” ............................... 121
`(3) Union’s “active” campaign and “impending” election at Red Rock ............. 123
`(4) Company’s knowledge of Union’s “active” campaign or “impending” election
`
`128
`(B) The Company established legitimate business reasons for the timing of the
`decision and announcement of the new benefits. ..................................................... 140
`c. December 16 and 17 meetings (Fortino and Nelson) ............................................... 145
`d. 2020 Focus on Family pamphlet .............................................................................. 148
`
`ii
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`e. Unnamed agent from HR Department ...................................................................... 149
`f.
`John Cevallos ............................................................................................................ 150
`g. Nikki Ogorchock ...................................................................................................... 151
`h. Hernan Andrade ........................................................................................................ 154
`i. Felix Gonzalez .......................................................................................................... 155
`j. Kasha Mackelprang .................................................................................................. 156
`k. Erika Hernandez ....................................................................................................... 161
`l. Campaign materials .................................................................................................. 162
`i. Overview ............................................................................................................... 162
`ii.
`Is Unionizing Worth the Risk? ............................................................................. 163
`iii. Local 226 Promises vs. Track Record .................................................................. 164
`iv. Top Ten Reasons to Vote No on Thursday/Friday ............................................... 165
`v. Big Fat Union Lie ................................................................................................. 167
`m. Vote No! steaks ........................................................................................................ 168
`n. HMO benefits ........................................................................................................... 169
`o. Caution Area Under Construction flyer.................................................................... 170
`p. Elimination of TCCA practice .................................................................................. 170
`2. Alleged Unlawful Threats............................................................................................. 171
`a. September 19 and 20 meetings (Nelson) .................................................................. 171
`b. December 16 and 17 meetings (Fortino and Nelson) ............................................... 175
`i. Fortino alleged threat of futility on December 16 ................................................ 175
`ii. Fortino alleged threat of futility on December 17 ................................................ 179
`iii. Nelson alleged threat of futility on December 16 ................................................. 182
`iv. Nelson alleged threat of futility on December 17 ................................................. 184
`v. Fortino and Nelson alleged threat of loss of benefits on December 16 and 17 .... 186
`vi. Fortino alleged threat of permanent replacement on December 16 and 17 .......... 188
`vii. Nelson alleged threat of inevitable strike on December 16 .................................. 189
`viii. Nelson alleged threat of unspecified reprisals on December 17 ....................... 190
`ix. Alleged unlawful PowerPoint presentation threats on December 16 and 17........ 191
`c. Matthew Martin ........................................................................................................ 195
`i. Threat of loss of benefits, direction not to go to HR, and unspecified reprisals
`(January 2019) .............................................................................................................. 196
`ii. Threat of loss of relationship with supervisors and loss of benefits (December
`2019)............................................................................................................................. 197
`d. Brendon Cheney ....................................................................................................... 199
`e. Donnalee Park........................................................................................................... 203
`f. Walter Sabajan .......................................................................................................... 205
`g. Hernan Andrade ........................................................................................................ 207
`h. Erika Hernandez ....................................................................................................... 209
`i. Kasha Mackelprang .................................................................................................. 210
`j.
`Josh Leiserowitz ....................................................................................................... 212
`k. Campaign materials .................................................................................................. 214
`i.
`Is Unionizing Worth the Risk? ............................................................................. 214
`ii. Local 226 Promises Vs. Track Record ................................................................. 215
`iii. Top Ten Reasons to Vote No on Thursday/Friday ............................................... 215
`iv. Big Fat Union Lie ................................................................................................. 216
`
`iii
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`3. Alleged Unlawful Interrogation ................................................................................... 216
`a. Brendon Cheney ....................................................................................................... 216
`b. Malgorzata Wrzask ................................................................................................... 220
`4. Alleged Unlawful Solicitation of Grievances ............................................................... 223
` Brendon Cheney ....................................................................................................... 223
` Malgorzata Wrzask ................................................................................................... 224
`5. Alleged Unlawful Use of Employee Images on Website .............................................. 224
`6. Alleged Unlawful Promulgation and Maintenance of No-Solicitation Rule ................ 226
`B. SECTION 8(A)(3) ALLEGATIONS ........................................................................................ 230
`1. Claudia Montano.......................................................................................................... 230
`a. Alleged unlawful change in schedule ....................................................................... 230
`b. Alleged unlawful reduction in seniority ................................................................... 234
`c. Alleged unlawful written warning ............................................................................ 235
`d. Alleged unlawful final written warning.................................................................... 236
`2. Maria Gutierrez............................................................................................................ 238
`3. Theresa Powers and Yaneth Chavez ............................................................................ 240
`C. DEMAND FOR BARGAINING ORDER ................................................................................... 245
`D. ELECTION OBJECTIONS ..................................................................................................... 254
`V. CONCLUSION .................................................................................................................. 255
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`iv
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`TABLE OF AUTHORITIES
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`Cases
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`Page(s)
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`A.O. Smith Automotive Products Co.,
`315 NLRB 994 (1994) ...........................................................................................................160
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`Abramson, LLC,
`345 NLRB 171 (2005) ...........................................................................................................244
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`AdvancePierre Foods, Inc.,
`366 NLRB No. 133, slip op. (2018)...............................................................................140, 160
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`Aldworth Co.,
`338 NLRB 137 (2002) ...........................................................................................................208
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`Allegheny Ludlum Corp.,
`333 NLRB 734 (2001), enfd. 301 F.3d 167 (3d Cir. 2002) ...........................................225, 226
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`Allied Medical Transport, Inc.,
`360 NLRB 1264 (2014) .........................................................................................................159
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`Allstate Maintenance,
`367 NLRB No. 68, slip op. (2019).........................................................................................231
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`Am. Can Co., Dixie Cup Div.,
`157 NLRB 167 (1966) ..................................................................................................... passim
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`Associated Milk Producers, Inc.,
`255 NLRB 750 (1981) ...........................................................................................................120
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`Audubon Reg’l Med. Ctr.,
`331 NLRB 374 (2000) .............................................................................................................85
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`AutoZone, Inc.,
`315 NLRB 115 (1994) ...........................................................................................................254
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`Avecor, Inc. v. NLRB,
`931 F.2d 924 (D.C. Cir. 1991) ...............................................................................................246
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`Be-Lo Stores v. NLRB,
`126 F.3d 268 (4th Cir. 1997) .................................................................................................252
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`Berk-Tek, Inc.,
`285 NLRB 300 (1987) ..................................................................................................... passim
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`Beverly California Corp.,
`326 NLRB 232 (1998) ...........................................................................................................250
`
`v
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`Beverly Enterprises, Inc. v. NLRB,
`139 F.3d 135 (2d Cir. 1998)............................................................................................. passim
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`Boar’s Head Provisions Co.,
`370 NLRB No. 124, slip op. (2021).......................................................................................219
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`Bottom Line Enterprises,
`302 NLRB 373 (1991), enfd. 15 F.3d 1087 (9th Cir. 1994) ..................................................254
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`C & S Distributors,
`321 NLRB 404 (1996) ...........................................................................................................214
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`C. E. Glass,
`189 NLRB 496 (1971) ...........................................................................................177, 184, 199
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`Cafe La Salle,
`280 NLRB 379 (1986) ...................................................................................................190, 223
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`Caradco Corporation,
`267 NLRB 1356 (1983) .........................................................................................................175
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`Cardinal Home Products,
`338 NLRB 1004 (2003) .........................................................................................................119
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`Care One at Madison Avenue,
`361 NLRB 1462 (2014), enfd. 832 F.3d 351 (D.C. Cir. 2016)......................................120, 144
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`Certainteed Corp.,
`282 NLRB 1101 (1987) .................................................................................................177, 184
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`Churchill’s Supermarkets,
`285 NLRB 138 (1987) ...................................................................................117, 118, 119, 123
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`Circuit City Stores,
`324 NLRB 147 (1997) ...........................................................................................................169
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`Coca-Cola Bottling Co.,
`161 NLRB 1252 (1966) .........................................................................................................204
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`Columbia Alaska Regional Hospital,
`327 NLRB 876 (1999) ...........................................................................................................169
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`Conley Trucking,
`349 NLRB 308 (2007) ...........................................................................................................137
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`Continental Can Co.,
`282 NLRB 1363 (1987) .........................................................................................................232
`
`vi
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`Continental Industries,
`279 NLRB 920 (1986) ...................................................................................................218, 222
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`Delchamps v. NLRB,
`588 F.2d 476 (5th Cir. 1979) .........................................................................................119, 129
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`Donaldson Bros. Ready Mix,
`341 NLRB 958 (2004) ...........................................................................................................141
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`Dynacor Plastics & Textiles Div. of Medline Industries,
`218 NLRB 1404 (1975) .................................................................................................120, 141
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`Dyncorp,
`343 NLRB 1197 (2004), enfd. 223 Fed.Appx. 419 (6th Cir. 2007) ......................................159
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`E-Z Recycling,
`331 NLRB 950 (2000) ...........................................................................................................169
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`Eagle Comtronics, Inc.,
`263 NLRB 515 (1982) ...................................................................................................188, 194
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`Eagle Eng’g Corp.,
`168 NLRB 352 (1967) ...........................................................................................................193
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`EZ Park, Inc.,
`360 NLRB 672 (2014) ...........................................................................................232, 234, 236
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`Famous-Barr Co.,
`174 NLRB 770 (1969) ...................................................................................................120, 144
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`Farm Fresh, Inc.,
`305 NLRB 887 (1991) ...........................................................................................202, 207, 234
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`Fern Terrace Lodge,
`297 NLRB 8 (1989) .......................................................................................176, 178, 181, 184
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`FMC Corporation,
`216 NLRB 476 (1975) ...................................................................................................120, 121
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`Franklinton Preparatory Academy,
`366 NLRB No. 67, slip op. (2018).........................................................................................148
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`Fresh & Easy Neighborhood Mkt., Inc.,
`358 NLRB 537 (2012) ...........................................................................................................169
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`Gardner Engineering,
`313 NLRB 755 (1994) ...........................................................................................................218
`
`vii
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`Gardner Mech. Servs., Inc. v. NLRB,
`115 F.3d 636 (9th Cir. 1997) .................................................................................................218
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`Gelita USA, Inc.,
`352 NLRB 406 (2008) ...........................................................................................................159
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`General Electric Co.,
`332 NLRB 91 (2000) .............................................................................................................175
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`Grede Foundries, Inc.,
`205 NLRB 39 (1973) .............................................................................................177, 179, 181
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`Hampton Inn NY—JFK Airport,
`348 NLRB 16, 17 (2006), enfd. in pertinent part 397 F.3d 548, 553-554 (7th
`Cir. 2005) ......................................................................................................................... passim
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`Havatampa Cigar Corporation,
`175 NLRB 736 (1969) ...........................................................................................................144
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`Hogan Transports, Inc.,
`363 NLRB No. 196, slip op. (2016).......................................................................................247
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`Honolulu Sporting Goods Co., Ltd.,
`239 NLRB 1277 (1979) .........................................................................................................250
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`Hotel & Restaurant Employees Local 11 v. NLRB,
`760 F.2d 1006 (9th Cir. 1985) ...............................................................................................217
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`Hotel & Restaurant Employees Local 226 (Santa Fe Hotel),
`318 NLRB 829 (1995) ...........................................................................................................254
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`Hyatt Regency Memphis,
`296 NLRB 259 (1989) ...................................................................................................111, 148
`
`Ideal Macaroni Co.,
`301 NLRB 507 (1991) ..................................................................................................... passim
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`Intermet Stevensville,
`350 NLRB 1349 (2007) .................................................................................................246, 250
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`Intertape Polymer Corp.,
`360 NLRB 957 (2014) ...................................................................................217, 218, 219, 220
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`Jewell Smokeless Coal Corporation,
`163 NLRB 651 (1967) ...........................................................................................................129
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`John W. Hancock, Jr.,
`337 NLRB 1223 (2002), enfd. 73 Fed.Appx. 617 (4th Cir. 2003) ................................217, 218
`
`viii
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`Johnson Controls, Inc.,
`368 NLRB No. 20, slip op. (2019).........................................................................................253
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`Kawneer Co.,
`164 NLRB 983 (1967) ...........................................................................................................158
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`L. M. Berry and Company,
`266 NLRB 47 (1983) .....................................................................................................155, 156
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`Liquitane Corp.,
`298 NLRB 292 (1990) ...................................................................................................179, 191
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`Longview Fibre Paper & Packaging,
`356 NLRB 796 (2011) ...................................................................................................120, 144
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`LRM Packaging,
`308 NLRB 829 (1992) ..................................................................................................... passim
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`MacDonald Machinery Co.,
`335 NLRB 319 (2001) ...........................................................................................................110
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`Manhattan Crowne Plaza,
`341 NLRB 619 (2004) ..................................................................................................... passim
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`McAllister Towing & Transp. Co., Inc.,
`341 NLRB 394 (2004) ...................................................................................................249, 251
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`Mercy Hospital Mercy Southwest Hospital,
`338 NLRB 545 (2002), enfd. 23 F.3d 399 (4th Cir. 1994) ....................................................114
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`Michaels Painting, Inc.,
`337 NLRB 860 (2002), enfd. 85 Fed.App’x 614 (9th Cir. 2003) ..........................................250
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`Mid Island Textile Industries,
`214 NLRB 484 (1974) ...........................................................................................................111
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`Middletown Hosp. Ass’n,
`282 NLRB 541 (1986) ...........................................................................................................190
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`Morse’s Foodmart of New Bedford,
`230 NLRB 1092 (1977) ................................................................................................... passim
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`Nalco Chemical Co.,
`163 NLRB 68 (1967) .............................................................................................................141
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`National Micronetics, Inc.,
`277 NLRB 993 (1985) ..................................................................................................... passim
`
`ix
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`
`
`NLRB v. Bighorn Beverage,
`614 F.2d 1238 (9th Cir. 1980), (1978) ...................................................................................250
`
`NLRB v. Exchange Parts Co.,
`375 U.S. 405 (1964



