HOLLY FARMS CORP. ET AL. v. NATIONAL LABOR RELATIONS BOARD ET AL.
No. 95-210
Supreme Court of the United States
Argued February 21, 1996—Decided April 23, 1996
517 U.S. 392
Charles P. Roberts III argued the cause and filed briefs for petitioners.
Richard H. Seamon argued the cause for respondents. With him on the brief for respondent National Labor Relations Board were Solicitor General Days, Deputy Solicitor General Wallace, Linda Sher, Norton J. Come, and John Emad Arbab. J. David James, Judith A. Scott, Jon Hiatt, Andrew D. Roth, and Laurence Gold filed a brief for respondent unions.*
JUSTICE GINSBURG delivered the opinion of the Court.
This controversy stems from a dispute concerning union representation at the Wilkesboro, North Carolina, headquarters facility of Holly Farms, a corporation engaged in the production, processing, and marketing of poultry products. The parties divide, as have federal courts, over the classification of certain workers, described as “live-haul” crews—teams of chicken catchers, forklift operators, and truckdrivers, who collect for slaughter chickens raised as broilers by independent contract growers, and transport the birds to Holly Farms’ processing plant. Holly Farms maintains that members of “live-haul” crews are “agricultural laborer[s],” a category of workers exempt from National Labor Relations Act coverage. The National Labor Relations Board disagreed and approved a Wilkesboro plant bargaining unit including those employees. Satisfied that the Board reasonably aligned the “live-haul” crews with the corporation‘s
I
A
Petitioner Holly Farms Corporation, a wholly owned subsidiary of Tyson Foods, Inc., is a vertically integrated poultry producer headquartered in Wilkesboro, North Carolina.1 Holly Farms’ activities encompass numerous poultry operations, including hatcheries, a feed mill, an equipment maintenance center, and a processing plant.
“Broiler” chickens are birds destined for human food markets.2 Holly Farms hatches broiler chicks at its own hatcheries, and immediately delivers the chicks to the farms of independent contractors. The contractors then raise the birds into full-grown broiler chickens. Holly Farms pays the contract growers for their services, but retains title to the broilers and supplies the food and medicine necessary to their growth.
When the broilers are seven weeks old, Holly Farms sends its live-haul crews to reclaim the birds and ferry them to the processing plant for slaughter. The live-haul crews—which typically comprise nine chicken catchers, one forklift operator, and one live-haul driver—travel in a flat-bed truck from Holly Farms’ processing plant to the farms of the independent growers. At the farms, the chicken catchers enter the coops, manually capture the broilers, and load them into cages. The forklift operator lifts the caged chickens onto the bed of the truck, and the live-haul driver returns the
B
In 1989, the Chauffeurs, Teamsters and Helpers, Local 391 (Union), filed a representation petition with the National Labor Relations Board (Board or NLRB), seeking an election in a proposed unit that included live-haul employees working out of Holly Farms’ Wilkesboro processing plant. Over Holly Farms’ objection, the Board approved the bargaining unit, ruling that the live-haul workers were “employee[s]” protected by the
The United States Court of Appeals for the Fourth Circuit enforced the Board‘s order. The court held that the Board‘s classification of the live-haul workers as “employee[s],” rather than “agricultural laborer[s],” rested “on a reasonable interpretation of the Act.” 48 F. 3d 1360, 1372 (1995). The Board‘s reading, the court added, was consistent with the NLRB‘s prior decisions, see Imco Poultry, Div. of Int‘l Multifoods Corp., 202 N. L. R. B. 259, 260-261 (1973), adhered to in Seaboard Farms of Kentucky, Inc., 311 N. L. R. B. No. 159 (1993), and Draper Valley Farms, Inc., 307 N. L. R. B. 1440 (1992), and with the Eighth Circuit‘s case law, see NLRB v. Hudson Farms, Inc., 681 F. 2d 1105, 1106 (per curiam) (1982), cert. denied, 459 U. S. 1069 (1982), and
Other Federal Courts of Appeals, in conflict with the Fourth and Eighth Circuits, have held that live-haul workers employed by vertically integrated poultry producers are engaged in “agriculture.” See, e. g., Coleman v. Sanderson Farms, Inc., 629 F. 2d 1077, 1079 (CA5 1980); NLRB v. Ryckebosch, Inc., 471 F. 2d 20, 21 (CA9 1972). We granted certiorari to resolve the division of authority. 516 U. S. 963 (1995).
II
The NLRA‘s protections extend only to workers who qualify as “employee[s]” under
“‘Agriculture’ includes farming in all its branches and among other things includes the cultivation and tillage
of the soil, dairying, the production, cultivation, growing, and harvesting of any agricultural or horticultural commodities (including commodities defined as agricultural commodities in section 1141j(g) of title 12), the raising of livestock, bees, fur-bearing animals, or poultry, and any practices (including any forestry or lumbering operations) performed by a farmer or on a farm as an incident to or in conjunction with such farming operations, including preparation for market, delivery to storage or to market or to carriers for transportation to market.”
29 U. S. C. § 203(f) .
This definition, we have explained, “includes farming in both a primary and a secondary sense.” Bayside, 429 U. S., at 300. “Primary farming” includes the occupations listed first in
If a statute‘s meaning is plain, the Board and reviewing courts “must give effect to the unambiguously expressed intent of Congress.” Chevron U. S. A. Inc. v. Natural Resources Defense Council, Inc., 467 U. S. 837, 843 (1984). When the legislative prescription is not free from ambiguity, the administrator must choose between conflicting reason-
III
Primary farming includes the raising of poultry. See Bayside, 429 U. S., at 300-301. All agree that the independ-
We take up, initially, the “performed by a farmer” strand of
We turn, now, to the nub of the case for the chicken catchers and forklift operators: the “on a farm” strand of
A
Holly Farms argues that under the plain language of the statute, the catching and loading of broilers qualifies as work performed “on a farm as an incident to” the raising of poultry. The corporation emphasizes that
We find Holly Farms’ position to be a plausible, but not an inevitable, construction of § 3(f). Hence, we turn to the Board‘s position, examining only its reasonableness as an interpretation of the governing legislation.
B
While agreeing that the chicken catchers and forklift operators work “on a farm,” the Board contends that their catch and cage work is not incidental to farming operations. Rather, the work is tied to Holly Farms’ slaughtering and processing operations, activities that do not constitute “farming” under the statute. We conclude, as we next explain, that the Board‘s position “is based on a reasonable interpretation of the statute, is consistent with the Board‘s prior holdings, and is supported by the Secretary of Labor‘s construction of § 3(f).” Bayside, 429 U. S., at 303 (footnotes omitted).
1
The Board underscores the statutory words ”such farming operations.” It does not suffice that the alleged secondary agriculture consists of “preparation for market,” or “delivery to storage or to market,” the Board maintains; to qualify for the statutory exemption, the Board urges, the work must be incidental to, or conjoined with, primary farming operations.8 As just explained, see supra, at 400-401, at the growing stage in the short life of a broiler, Holly Farms is not involved in primary farming, but the contract growers are. The essential question, then, is whether the live-haul employees’ activities are inevitably “incident to or in conjunction with” the farming operations of the independent growers.9 The Board answers this question in the negative.
We find the Board‘s answer reasonable. Once the broilers have grown on the farm for seven weeks, the growers’ contractual obligation to raise the birds ends, and the work of the live-haul crew begins. The record reflects minimal overlap between the work of the live-haul crew and the independent growers’ raising activities. The growers do not assist the live-haul crews in catching or loading the chickens; their only responsibilities are to move certain equipment from the chicken coops prior to the crews’ arrival, and to be present when the crews are on the farms. App. to Brief for Federal Respondent 3a. Nor do the live-haul employees play any role in the growers’ performance of their contractual undertakings.
The record, furthermore, supports the Board‘s conclusion that the live-haul crews’ activities were conjoined with Holly Farms’ processing operations, rather than with farming.10
We think it sensible, too, that the Board homed in on the status of the live-haul crews’ employer. The employer‘s status respecting the particular activity at issue accounts for the Board‘s determination that Holly Farms’ “egg haulers” (who transport eggs from the laying houses to the hatcheries), and “pullet catchers” (who collect the breeding-destined birds on the farms of independent growers) rank as “agricultural laborer[s].” As the record shows, the pullet catchers and egg haulers work in Holly Farms’ hatchery operations, while the live-haul employees—who deal only with broilers—work out of the processing plant. “There is no interchange between these classifications. Broiler haulers do not haul pullets and pullet haulers do not haul broilers.” App. 20a-21a. Accordingly, the Board reasonably aligned the pullet catchers and egg haulers with Holly Farms’ poultry-raising operation, and the live-haul employees with the corporation‘s slaughtering and processing activities.
is whether the work of the live-haul crews qualifies as incidental to farming.
2
The Board‘s decision regarding Holly Farms’ live-haul crews adheres to longstanding NLRB precedent. For more than 23 years, the NLRB has maintained that vertically integrated poultry producers’ employees who “handl[e] and transpor[t] chicks on the farms of independent growers only after [the poultry producers‘] farming operations have ended ... cannot be performing practices incident to, or in conjunction with, [their employer‘s] farming operations.” Imco Poultry, 202 N. L. R. B., at 260. Rather, such employees, the Board has repeatedly ruled, perform work “incident to, or in conjunction with, a separate and distinct business activity of [their employer], i. e., shipping and marketing.” Id., at 261. See also Draper Valley Farms, Inc., 307 N. L. R. B., at 1440 (“We think it follows plainly from Imco that the Employer‘s chicken catchers are not, when working on the farms of independent growers who have concluded their ‘raising’ activities, exempt as agricultural laborers.“); Seaboard Farms of Kentucky, Inc., 311 N. L. R. B. No. 159 (1993) (same).11
3
In construing the agricultural laborer exemption, the Board endeavors to “follow, whenever possible, the interpretations of
On contract arrangements for raising poultry, the Department of Labor has issued an interpretative regulation, which we noted in Bayside, 429 U. S., at 303-304, n. 13, as follows:
“Feed dealers and processors sometimes enter into contractual arrangements with farmers under which the latter agree to raise to marketable size baby chicks supplied by the former who also undertake to furnish all the required feed and possibly additional items. Typically, the feed dealer or processor retains title to the chickens until they are sold. Under such an arrangement, the activities of the farmers and their employees in raising the poultry are clearly within section 3(f). The activities of the feed dealer or processor, on the other hand, are not ‘raising of poultry,’ and employees engaged in them cannot be considered agricultural employees on that ground. Employees of the feed dealer or processor who perform work on a farm as an incident to or in conjunction with the raising of poultry on the farm are employed in ‘secondary’ agriculture (see
§§ 780.137 et seq. [explaining that work must be performed in connection with the farmer-employer‘s own farming to qualify as ‘secondary’ agriculture by a farmer] and Johnston v. Cotton Producers Assn., 244 F. 2d 553).”
29 CFR § 780.126 (1995) .
This regulation suggests that live-haul crews surely are not engaged in a primary farming operation. The crews could rank as workers engaged in “secondary” agriculture if they “perform[ed] work on a farm as an incident to or in conjunction with the raising of poultry on the farm.” Ibid. As we developed earlier, however, see supra, at 402-405, in the Board‘s judgment, the crews do not fit that bill. The live-haul crew members perform their work, as the Board sees it, not “as an incident to” poultry raising by independent growers, but “incident to” and “in conjunction with” the slaughter and processing of chickens at Holly Farms’ Wilkesboro plant. In the Board‘s words, the crews are tied to “a separate and distinct business activity,” the business of processing poultry for retail sale, see Imco Poultry, 202 N. L. R. B., at 261, not to the anterior work of agriculture.13
Other Department of Labor regulations are in harmony with the Board‘s conclusion that the live-haul crews do not engage in secondary farming because their work, though “on
“The fact that a practice performed on a farm is not performed by or for the farmer is a strong indication that it is not performed in connection with the farming operations there conducted.” Ibid.
The same regulation,
The Department of Labor candidly observed that “[t]he line between practices that are and those that are not performed ‘as an incident to or in conjunction with’ such farming operations is not susceptible of precise definition.”
IV
In sum, we find persuasive the Board‘s conclusion that the collection of broilers for slaughter was an activity serving
Affirmed.
JUSTICE O‘CONNOR, with whom THE CHIEF JUSTICE, JUSTICE SCALIA, and JUSTICE THOMAS join, concurring in the judgment in part and dissenting in part.
Today the Court concludes that three categories of workers fall outside the definition of “agricultural laborer” supplied by
The Court devotes the bulk of its opinion to an analysis of the reasonableness of the National Labor Relations Board‘s (Board) interpretation of the statute, but gives remarkably short shrift to the statute itself. The Court dismisses Holly Farms’ claim that the plain language of the statute covers the chicken catchers and forklift operators with the conclusory remark that Holly Farms’ reading of the statute is “a plausible, but not an inevitable, construction of § 3(f).” Ante, at 401. In my view, however, the language of the statute is unambiguous.
As we said in Chevron U. S. A. Inc. v. Natural Resources Defense Council, Inc., 467 U. S. 837 (1984): “First, always, is the question whether Congress has directly spoken to the precise question at issue. If the intent of Congress is clear, that is the end of the matter; for the court, as well as the agency, must give effect to the unambiguously expressed intent of Congress.” Id., at 842-843. None of our precedents sanction blind adherence to the Board‘s position when it is directly contrary to the plain language of the relevant statute. See, e. g., NLRB v. Brown, 380 U. S. 278, 291 (1965) (“Reviewing courts are not obliged to stand aside and rubber-stamp their affirmance of administrative decisions that they deem inconsistent with a statutory mandate or that frustrate the congressional policy underlying a statute“); American Ship Building Co. v. NLRB, 380 U. S. 300, 318 (1965) (“The deference owed to an expert tribunal cannot be allowed to slip into a judicial inertia...“).
The Court‘s determination rests largely upon a misreading of the statute in two respects. First, the Court tethers the “or on a farm” clause of § 3(f) to the employment relationship (or lack thereof) between the chicken catchers and forklift operators and the independent farmer who is charged with raising the chickens. And second, the Court decides that the secondary farming activities performed by the chicken catchers and forklift operators must not only be “incident” to the independent farmer‘s primary farming activities, but must be “mainly” or “most tightly” tied thereto. Neither conclusion finds support in the language of § 3(f).
The Court‘s first error stems from its adoption of the Board‘s focus on the lack of a direct employment relationship between the live-haul workers and the independent growers. But the “or on a farm” clause nowhere mentions the nature of the employment relationship. Instead, it is plainly concerned only with the nature of the work performed by the worker. The Board‘s interpretation must be rejected, as it would read the “or on a farm” clause out of the statute entirely.
The Court relies on the legislative history underlying the “or on a farm” clause, which we described in Farmers Reservoir & Irrigation Co. v. McComb, 337 U. S. 755, 763 (1949). That history reveals that the clause was intended to include within the statutory definition work performed on a farm that was “necessary to” the farming operations but not performed by the farmer himself. Id., at 767. One example figures prominently in the legislative history: a wheat
The Court and the Board emphasize formal contractual arrangements to the virtual exclusion of practical realities. The fact that Holly Farms supplies the services of the chicken catchers and forklift operators seems entirely beside the point; the work performed by these employees is precisely the same whether they are hired by Holly Farms or by the independent growers. And the notion that Congress intended the status of the chicken catchers and forklift operators to turn on such a readily manipulable criterion strains credibility. If the live-haul crew‘s status depends only upon who “hires” them to perform the work, Holly Farms can simply charge the independent growers with raising and catching, caging, and cooping the chickens, and require the independent growers to hire Holly Farms’ own live-haul workers to perform those tasks.
The Court‘s quotation from Imco Poultry, Div. of Int‘l Multifoods Corp., 202 N. L. R. B. 259 (1973), reveals precisely where the Board and the Court have gone astray: The Board takes the position that live-haul workers “‘cannot be performing practices incident to, or in conjunction with, [their employer‘s] farming operations.‘” Ante, at 405 (quoting Imco Poultry, supra, at 260). But the statute does not require that work be performed “incident to or in conjunction with” one‘s employer‘s farming operations, but only incident to or in conjunction with “such” farming operations—the antecedent for which term is plainly the first clause of
The Court also cites with approval a Department of Labor (DOL) interpretive regulation that addresses contractual arrangements for raising poultry such as those between Holly Farms and the independent growers. The DOL regulation declares that “[e]mployees of [a] feed dealer or processor who perform work on a farm as an incident to or in conjunction with the raising of poultry on the farm are employed in ‘secondary’ agriculture.”
The Court‘s second misstep likewise derives from its deference to a Board construction that lacks foundation in the
As Holly Farms points out, the Board‘s contrary position hinges on the premise that a given activity can only be incident to one thing—either processing or farming, but not both. But the Board‘s position cannot be squared with the statute itself, which places no conditions upon the statutory prerequisite that work be “incident to or in conjunction with” covered farming operations. Indeed, the wheat thresher of the legislative history was clearly performing work “incident to” the business operations of the wheat threshing enterprise as well as “incident to” the farmer‘s farming operations. The statutory requirement is simple, and the imposition of a more stringent prerequisite must be rejected as contrary to the statute itself.
When the chicken catchers and forklift operators arrive at the farm of an independent grower to catch, cage, and load the live chickens in preparation for their delivery to market, they are certainly doing work that is directly related to the farming operations that occurred on that very farm during the preceding weeks: the raising of poultry. As Holly Farms points out, unless the chickens are caught, caged, and removed from the farm, the independent grower‘s farming operations will have been for naught. The independent grower must see to it that the chickens grow to the designated age and are caught, removed, and replaced with new chicks for the next growing cycle. See Brief for Petitioners
The Court‘s response relies on the facts that the independent grower‘s contractual duties have ended, that the workers punch a timeclock in Holly Farms’ processing plant rather than in Farmer Brown‘s barn, and that Holly Farms rather than the independent grower signs their paychecks at the end of the day. But these facts are irrelevant to the statutory definition.
Because the Court today defers to an NLRB interpretation that runs directly contrary to the statutory language, I respectfully dissent from the Court‘s conclusion with respect to the chicken catchers and forklift operators.
Notes
Holly Farms presses the argument that its live-haul employees are analogous to the wheat threshers who figured in FLSA § 3(f)‘s legislative history. The Board reasonably responds, however, that any worker—whether a wheat thresher, a feed-haul driver, or a chicken catcher—must perform his or her work “as an incident to or in conjunction with such farming operations” in order to fall under the agricultural exemption. If the chicken catching crews were employed by the independent growers, rather than by Holly Farms’ processing operation, those crews would more closely resemble the wheat threshers contemplated by the framers of § 3(f).
Holly Farms argues, and the dissent agrees, post, at 414, that the Board‘s conclusion rests on the assumption that a given activity can be incidental to one thing only—in this case, either processing or farming, but not both. At oral argument, counsel for the Board stated that Holly Farms had not accurately conveyed the Board‘s position. Tr. of Oral Arg. 33, 38. The Board apparently recognizes, as do we, that an activity can be incidental to more than one thing. To gain the agricultural exemption, however, farming must be an enterprise to which the activity at issue is incidental. The relevant question under the statute, therefore,
Joseph A. Wender, Jr., filed a brief for the California Agricultural Labor Relations Board as amicus curiae.
