National Labor Relations Board v. United Insurance Company of America

United States Supreme Court

390 U.S. 254

National Labor Relations Board  v.  United Insurance Co. of America et al.

Certiorari to the United States Court of Appeals for the Seventh Circuit

No. 178.  Argued: January 23-24, 1968 --- Decided: March 6, 1968^[1]

Petitioner insurance workers union seeks to represent respondent insurance company's "debit agents." The company refused to recognize the union, claiming that the agents were independent contractors rather than employees. The National Labor Relations Board (NLRB) in the ensuing unfair labor practice proceeding determined under the common law of agency that the agents were employees. It found that the agents do not operate their own independent businesses, but perform functions that are an essential part of the company's normal operations; are trained by company supervisory personnel; do business in the company's name and ordinarily sell only the company's policies; operate under terms and conditions established and changed unilaterally by the company; account for funds under strict company procedures; receive the benefit of the company's vacation plan and group insurance and pension fund; and have a permanent working arrangement under which they may continue with the company as long as their performance is satisfactory. The Court of Appeals refused to enforce the NLRB's order.

Held: The NLRB's determination that the agents were company employees and not independent contractors represented a choice between two fairly conflicting views, and its order should have been enforced by the Court of Appeals. Pp. 256-260.

371 F. 2d 316, reversed.

Dominick L. Manoli argued the cause for the National Labor Relations Board, petitioner in No. 178 and respondent in No. 179. With him on the brief were Solicitor General Griswold, Arnold Ordman and Norton J. Come.

Isaac N. Groner argued the cause and filed a brief for the Insurance Workers International Union, AFL-CIO, petitioner in No. 179 and respondent in No. 178.

Bernard G. Segal argued the cause for the United Insurance Co. of America, respondent in both cases. With him on the brief were Samuel D. Slade and Herbert G. Keene, Jr.

Shayle P. Fox filed a brief for the American Retail Federation, as amicus curiae, urging affirmance.

Notes

1. Together with No. 179, Insurance Workers International Union, AFL-CIO v. National Labor Relations Board et al., also on certiorari to the same court.