GARLAND, Circuit Judge:
Three related companies that operate New Jersey nursing homes petition for review of a decision of the National Labor Relations Board (NLRB). The Board found that the petitioners violated the National Labor Relations Act by refusing to meet with their employees' union for the purpose of collective bargaining, and by refusing to timely and completely supply information requested by the union. In this court, the petitioners do not dispute that they refused to meet and provide information; instead, they press the affirmative defenses of impasse and bad faith on the part of the union. Because substantial evidence supports the Board's findings that there was no genuine impasse and that the union's information requests were not made in bad faith, we deny the petition for review and grant the Board's cross-application for enforcement.
Petitioners Monmouth Care Center, Milford Manor Nursing Home and Rehabilitation Center, and Pinebrook Nursing Home are separate companies that share ownership and management. The companies operate
The issues on the bargaining table included wages, pensions, and health insurance. Another central point of contention was the employers' use of "agency employees" —employees provided by temporary placement agencies to work in positions that would otherwise have been occupied by members of the bargaining unit. The parties' expiring agreements permitted the employers to staff up to forty percent of their positions with agency employees, provided that those employees were placed in the bargaining unit after working at one of the facilities for a year. In the successor contracts, the union hoped to eliminate or reduce the employers' use of agency employees, while the employers aimed to retain or increase their flexibility to hire and use such employees.
Each employer negotiated separately with the union: Milford bargained three times, Monmouth five times, and Pinebrook seven times. The parties also met for one off-the-record meeting at the union's office in July 2005. Despite making some initial progress in negotiations at each of the three facilities, the employers effectively ceased bargaining with the union by the fall of 2005. Milford presented its so-called "final offer" at its third and final bargaining session with the union on August 19, 2005. Pinebrook made its "final offer" during its fifth bargaining session on September 12, 2005, and then declared impasse during a subsequent session on November 3, 2005. Monmouth never submitted a final offer; instead, bargaining simply concluded after a fifth and final session on August 12, 2005.
Throughout the negotiations, the union repeatedly requested information from the employers, both orally and in writing, regarding a variety of subjects, including their use of agency employees. The union first requested that information in a letter dated January 20, 2005, which asked petitioners to provide, among other things, "[d]ocuments showing the names of agencies used ... to supply temporary employees working in bargaining unit positions, the amount paid to agencies for temporary employees, ... and the hourly compensation paid to the agency employees." Letter from Larry Alcoff to David Jasinski (Jan. 20, 2005) (J.A. 858). During later negotiations, the union reiterated its request for that information and advised the employers that the information was needed for bargaining purposes. See Monmouth Care Ctr., 354 NLRB No. 2, at 12-13, 19, 45-46 (ALJ Op.). The union also sent a number of follow-up letters repeating and supplementing its information requests and objecting to the employers' failure to respond. E.g., Letters from Alcoff to Jasinski (Aug. 30, 2005) (J.A. 1082-85) (requesting a "list of all [agency] employees[,] including name, job title, shift, date of hire ..., current wage rate, [and] any benefits provided"); Letters from Alcoff to Jasinski (Oct. 10, 2005) (J.A. 1097-99) (repeating the request for "[a]ll items ... related to the use of Agency personnel"). The employers never provided complete responses to those information requests, particularly those requesting information regarding the use of agency employees. See 354 NLRB No. 2, at 47.
After a hearing, an administrative law judge (ALJ) ruled in favor of the union on both charges. On April 27, 2009, a two-member panel of the Board affirmed the ALJ's decision. Monmouth Care Ctr., 354 NLRB No. 2 (Board Op. I). After the Supreme Court held in New Process Steel, L.P. v. NLRB, ___ U.S. ___, 130 S.Ct. 2635, 177 L.Ed.2d 162 (2010), that two-member panels do not have the authority to decide cases under the NLRA, a three-member panel adopted and incorporated the earlier Board decision by reference. The Board's final decision and order issued on November 17, 2010. Monmouth Care Ctr., 356 NLRB No. 29 (Board Op. II).
The employers did not object before the Board to the ALJ's findings that they refused to meet and bargain with the union, and that they refused to provide relevant information to the union in a complete and timely fashion. 354 NLRB No. 2, at 1 n. 2 (Board. Op. I). Nor do they seriously contest those findings here, which is appropriate because, except in extraordinary circumstances, the failure to urge an objection before the Board bars review of that objection in this court. See 29 U.S.C. § 160(e); Woelke & Romero Framing, Inc. v. NLRB, 456 U.S. 645, 665, 102 S.Ct. 2071, 72 L.Ed.2d 398 (1982). Instead, the employers argued to the Board, and continue to argue here, "only that the [ALJ] erred by rejecting their affirmative defenses" of impasse and bad faith on the part of the union. 354 NLRB No. 2, at 1 n. 2.
In subpart A, we address the employers' contention that a genuine bargaining impasse relieved them of their duty to meet and bargain. In subpart B, we address their claim that they had no obligation to respond to the union's information requests because the union made those requests in bad faith.
A genuine bargaining impasse temporarily suspends an employer's duty to meet and bargain with a union. See Serramonte Oldsmobile, Inc. v. NLRB, 86 F.3d 227, 232 (D.C.Cir.1996); Richmond Elec. Servs., 348 NLRB 1001, 1003-04 (2006). Such an impasse is reached when "good-faith negotiations have exhausted the prospects of concluding an agreement," Taft Broad. Co., 163 NLRB 475, 478 (1967), and "there [is] no realistic possibility that continuation of discussion ... [would be] fruitful," Am. Fed'n of Television & Radio Artists v. NLRB, 395 F.2d 622, 628 (D.C.Cir.1968). The Board considers a number of factors to determine whether the parties have reached impasse, including "[t]he bargaining history, the
We have recently reiterated the limited role this court plays in reviewing an NLRB decision, particularly a decision regarding the existence of impasse:
Wayneview, 664 F.3d at 348. Applying this standard, we conclude that substantial evidence supports the Board's determination that the employers fell "far short of meeting their burden of establishing the existence of an impasse at any of the three facilities." 354 NLRB No. 2, at 47 (ALJ Op.); see 356 NLRB No. 29, at 1 (Board Op. II).
1. Because the employers refused to bargain jointly despite the union's repeated requests, see, e.g., 354 NLRB No. 2, at 12 (ALJ Op.), we begin by addressing the negotiations between the union and each employer separately.
At Monmouth, the parties conducted only five negotiating sessions, with the final session lasting no longer than an hour. At the time Monmouth ceased negotiating, it had not yet submitted its own economic proposal despite having promised to do so, and very little bargaining had taken place regarding the union's latest economic proposal, which the union had submitted during the penultimate negotiation session on July 8, 2005. 354 NLRB No. 2, at 47-48; see Hr'g Tr. 40-41 (Oct. 23, 2007) (J.A. 81-82) (testimony of Foley); Hr'g Tr. 261-63 (Oct. 24, 2007) (J.A. 124-25) (testimony of Alcoff). Moreover, the union's July 8 proposal demonstrated a clear willingness to compromise by showing movement on economic matters and on the critical issue of the use of agency employees.
At Milford, the parties bargained only three times before the employer submitted its so-called "final offer." That proposal was in fact Milford's first offer, and no substantive negotiations had taken place regarding that offer before Milford's representative characterized it as "final." 354 NLRB No. 2, at 48 (ALJ Op.); see H'rg Tr. 253-54 (Oct. 24, 2007) (J.A. 122) (testimony of Alcoff). Nor is there evidence of any contemporaneous understanding that the parties were at genuine impasse; indeed, at the conclusion of the third and final bargaining session on August 19, 2005, Milford's negotiator "did not object to or dispute the need for more meetings," but merely stated that he did not have his calendar with him and would have to contact the union's representative to schedule another session. 354 NLRB No. 2, at 48. Although the union requested additional meetings, Milford never responded to schedule them. Id. at 53. Moreover, at the third and final session, the union submitted a modified proposal that, like the proposal at Monmouth, demonstrated movement in several key areas of disagreement, including the use of agency employees. See Proposal Submitted by SEIU (J.A. 970-71). Taken together, this evidence amply supports the Board's finding that there was no genuine impasse at Milford. See Cotter & Co., 331 NLRB 787, 787-88 (2000) (rejecting a defense of impasse where the employer "abruptly claimed that its `last, best and final offer' was on the table," despite the fact that "the Union had demonstrated considerable flexibility and willingness to compromise" and "the parties did not have a contemporaneous understanding that they were at impasse").
At the third facility, Pinebrook, the parties bargained five times before the employer submitted its "final offer" on September 12, 2005; an additional time on November 3, 2005 during which the employer formally declared impasse; and one final time over a year later, on January 24, 2007. Despite these seven sessions, bargaining had only begun in earnest when Pinebrook declared impasse. See 354 NLRB No. 2, at 49 (ALJ Op.). Moreover, as at Milford, the union had made several significant concessions in its proposals that demonstrated flexibility in its bargaining positions. In particular, the union showed a willingness to compromise on the key issue of agency employees: although its initial proposal had been to immediately eliminate the use of all such employees except where necessary to "fill[] in for absent bargaining unit employees" or "to meet temporary staffing needs," Initial
2. The employers argue that, appearances aside, the union bargained in bad faith with all three of them by rigidly adhering to certain fixed demands. This, they maintain, supports the proposition that the parties were at impasse. Pet'r Br. 40 (citing Taft Broad., 163 NLRB at 478); see also Indus. Elec. Reels, Inc., 310 NLRB 1069, 1071-72 (1993) (holding that "entering negotiations with a predetermined resolve not to budge from an initial position betrays an attitude inconsistent with good-faith bargaining" (internal quotation marks omitted)). But the Board's rejection of this claim is well supported by the record. Although the employers stress and the ALJ assumed without deciding that the union's original negotiator, Uma Pimplaskar, initially characterized certain bargaining items as "non-negotiable," 354 NLRB No. 2, at 51,
The employers' assertion that the union refused to vary from the terms of a prior agreement known as the "Tuchman Agreement" is likewise unpersuasive. The Tuchman Agreement was a contract containing a "most-favored-nations" clause that the union had recently negotiated with other nursing home employers. The petitioners contend that the union "insist[ed]" in its negotiations with each of the three facilities "that it could not and would not deviate" from the Tuchman Agreement's terms, and that this rigid bargaining position led to an overall impasse. Pet'r Br. 40. But the Board affirmed the ALJ's findings that the union never invoked the most-favored-nations clause as a barrier to reaching a different bargain with the petitioners, and that it never stated it was bound by the Tuchman Agreement's specific terms. See 356 NLRB No. 29, at 1 (Board Op. II); 354 NLRB No. 2, at 52 (ALJ Op.). In particular, the ALJ credited the testimony of the union's negotiator over that of the petitioners' representatives on this issue, based on a combination of testimonial demeanor and a lack of specificity and internal corroboration for the petitioners' claims. 354 NLRB No. 2, at 50. The petitioners do not challenge those credibility determinations,
Moreover, the evidence shows that the union's proposals deviated from the terms of the Tuchman Agreement in some significant respects. The ALJ noted "several differences between the union's proposal and the Tuchman Agreement[,] including provisions regarding parity increases, shift differential, and time-and-half for [licensed practical nurses] working two floors." 354 NLRB No. 2, at 17-18. The ALJ further noted that, "while there are some similarities in the proposals of the Union and [the] Tuchman Agreement," the contract terms varied in other important ways as well, "particularly in the crucial agency usage provisions, as well as in the effective date of the Health Plan contributions." Id. at 53. Compare Tuchman Master Agreement at 18 (J.A. 743), with Proposal Submitted by SEIU at 1-2 (J.A. 970-71). As such, substantial evidence supports the Board's finding that the Tuchman Agreement was not an impediment to further bargaining.
3. Our recent decision in Laurel Bay Health & Rehabilitation Center v. NLRB, 666 F.3d 1365 (D.C.Cir.2012), does not undermine the Board's finding that there was no impasse or bad faith bargaining here. In a post-argument letter, the petitioners call attention to our conclusion in that case that "the Board erred in upholding the ALJ's finding that the parties were not at impasse" at the time the employer presented its "last and best final offer." Laurel Bay, 666 F.3d at 1373. But Laurel Bay is not this case. To be sure, it involved similar legal issues, the same union, some of the same negotiators on each side of the table, and similar arguments about the role the Tuchman Agreement played during negotiations. But it also involved a different employer, facility, and course of negotiations. At the time the employer declared impasse at Laurel Bay, for example, "the parties remained steadfastly fixed in their respective positions," with "neither party [having] budged" on the critical terms of its proposals, and with "the Union adhering to the Tuchman agreement terms." Id. at 1374. Indeed, "after six months of negotiation[,] the parties ... remained as far apart ... as they were when talks began," id. at 1374, and they "had not once come even close to accord on the major sticking point" in their negotiations: the amount of Laurel Bay's contributions to the employees' health insurance plan, id. at 1376 n. 16. Here, by contrast, substantial evidence supports the Board's findings that the union did not rigidly adhere to the Tuchman Agreement, that it made significant concessions in the key areas of disagreement, and that the employers abruptly cut off bargaining at each facility before further negotiations could occur.
As both the Board and this court have repeatedly emphasized, determining whether impasse or bad faith bargaining occurred involves multiple, highly fact-dependent considerations.
4. Finally, the NLRB's finding that Monmouth, Milford, and Pinebrook all failed to provide the union with relevant information concerning the critical bargaining issue of agency employees provides still further support for its determination that there was no genuine impasse at any of the three facilities. See 354 NLRB No. 2, at 48-49 (ALJ Op.); 356 NLRB No. 29, at 1 (Board Op. II). As this court has recognized, the duty to provide information relevant to bargaining is a "fundamental obligation" that is crucial to the proper functioning of the collective bargaining process. Oil, Chem. & Atomic Workers Local Union No. 6-418 v. NLRB, 711 F.2d 348, 358 (D.C.Cir.1983). Accordingly, "`impasse cannot exist where the employer has failed to satisfy its statutory obligation to provide information needed by the bargaining agent to engage in meaningful negotiations.'" E.I. Du Pont de Nemours & Co. v. NLRB, 489 F.3d 1310, 1315 (D.C.Cir.2007) (quoting Decker Coal Co., 301 NLRB 729, 740 (1991)).
In this case, the union repeatedly requested information from each employer regarding a number of relevant topics, including the employer's use of agency employees. None of the facilities provided timely and complete responses to those inquiries. See 354 NLRB No. 2, at 47 (ALJ Op.) (finding that "a large amount of information, particularly with respect to agency usage," was not "produced at all" or "was incomplete"). It was therefore reasonable for the Board to conclude that the petitioners' failure to provide information concerning a central point of contention between the parties—indeed, regarding an issue that the petitioners themselves characterize as a "key bargaining issue," Pet'r Br. 36, 39—frustrated the parties' efforts to reach an agreement and precluded a finding of genuine impasse. See 354 NLRB No. 2, at 49 (finding that the union's representative specifically stated during the Pinebrook negotiations that the union was "`trying to show movement,' but needed the information requested on agency usage, which had not been provided, in order to do so"); see also E.I. Du Pont de Nemours, 489 F.3d at 1315.
5. In sum, because substantial evidence supports the Board's rejection of the employers' affirmative defense of impasse, there is no ground for overturning the Board's conclusion that the employers violated their statutory duty to meet and bargain with the union.
In addition to supporting the Board's conclusion that no genuine impasse existed at any of the three facilities,
The petitioners' principal contention is that the union acted in bad faith by "making irrelevant information requests prior to and after the declaration of impasse in a deliberate attempt to try to stave off impasse." Pet'r Br. 40. The Board, however, affirmed the ALJ's finding that the requested information was in fact relevant to bargaining. See 354 NLRB No. 2, at 1 (Board Op. I); 354 NLRB No. 2, at 45-46 (ALJ Op.). In so doing, the Board noted that the employers had failed to file any exceptions to the ALJ's finding on that point. 354 NLRB No. 2, at 1 n. 2 (Board Op. I). The employers' waiver of their relevance argument before the Board deprives this court of authority to consider the issue. See 29 U.S.C. § 160(e); Woelke & Romero Framing, 456 U.S. at 665, 102 S.Ct. 2071.
The petitioners also assert that the union "failed to raise any objections to Petitioners' response to its initial information requests and did not make any new information requests until after Petitioners had declared that the parties were at impasse." Pet'r Br. 44. Although this argument does not appear to have been waived, it is flatly contradicted by the record evidence. That evidence shows that the union requested information concerning the use of agency employees, among other things, as early as January 20, 2005, before bargaining even began. Letter from Alcoff to Jasinski (Jan. 20, 2005) (J.A. 856-58). The union reiterated its information requests throughout 2005, sending numerous follow-up letters and frequently opening its negotiation sessions by objecting to the employers' failure to provide the information in a complete and timely fashion. See, e.g., 354 NLRB No. 2, at 11-13, 16, 43-45 (ALJ Op.); Hr'g Tr. 66 (Oct. 23, 2007) (J.A. 88) (testimony of Foley); Hr'g Tr. 290-91 (Oct. 24, 2007) (J.A. 131-32) (testimony of Alcoff). Indeed, the union repeatedly informed the employers, both orally and in writing, that responses to the outstanding information requests were necessary to develop its bargaining positions, and that significant compromises would be difficult until that information was received.
For the foregoing reasons, we deny the petition for review and grant the Board's cross-application for enforcement.
So ordered.