Dunn v. Pilgrim Industries, Inc.
The Regional Director of Region Sixteen of the National Labor Relations Board (NLRB), Michael Dunn, filed a verified petition for a temporary injunction under Section 10(j) of the National Labor Relations Act against Pilgrim Industries, Inc. The petition alleged that Pilgrim Industries engaged in unfair labor practices by refusing to bargain with the United Food and Commercial Workers, Local 540, following its acquisition of Pluss-Tex Poultry Company, and by unilaterally implementing changes to employee benefits and work shifts. The court found reasonable cause to believe that unfair labor practices had occurred. However, it declined to issue a mandatory bargaining order, citing insufficient evidence of irreparable harm to the Union that could not be remedied by a final Board order. The court instead granted a prohibitory injunction, restraining Pilgrim Industries from actions intended to erode employee support or membership in the Union and from unlawfully dissipating Union strength, while explicitly allowing the previously instituted pay increase, pension plan, and second work shift to remain. The ultimate resolution of successor employer status and bargaining duty was deferred to the NLRB.