Oberman and Co.

In the Matter of OBERMAN AND COMPANY and UNITED GARMENT WoRBERs OF AMERICA, LOCAL 229 Case No. C-1187.-Decided March 20, 1939 Clothing Manufacturing Industry-Settlement: stipulation providing for com- pliance with Act, reinstatement and back pay-Order: entered on stipulation. Mr. L. N. D. Wells, Jr., and Mr. Alba B. Martin, for the Board Mr. Allan V. McDonnell, and Mr. Tom M. Pogue, of Waco, Tex., for the respondent. Mr. Wm. R. Brooks, of Kansas City, Mo., for the United. Mr. Jim Guthrie, of Dallas, Tex., Mr. Leon M. Despres, and Mr. Newman Jeffrey, of Chicago, Ill., and Mr. Hyman Reiff, of Kansas City, Mo., for the Amalgamated. _ Mr. Richard A. Williams, of counsel to the Board. DECISION AND ORDER STATEMENT OF THE CASE Upon charges and amended charges duly filed by United Garment Workers of America, Local 229, affiliated with the American Federa- tion of Labor, herein called the United, the National Labor Rela- tions Board, herein called the Board, by the Regional Director for the Sixteenth Region (Fort Worth, Texas), issued its complaint on January 7, 1939, and its amended complaint" on January 24, 1939, against Oberman and Company, Waco, Texas, herein called the re- spondent, alleging that the respondent had engaged in and was engaging in unfair labor practices affecting commerce within the meaning of Section 8 (1) and (3) and Section 2 (6) and (7) of the National Labor Relations Act, 49 Stat. 449, herein called the Act. A copy of the complaint and the amended complaint and notices of hearing thereon were duly served upon the respondent, the United, and the Amalgamated Clothing Workers of America, Local 334, i The hearing was adjourned on January 23 to permit service of the amended complaint on January 24 with 5 days' notice to all parties. 11 N. L. R. B, No. 114. 1238 OBERMAN AND COMPANY DT AL. 1239 herein called the Amalgamated, a labor organization named in the complaint. Concerning the unfair labor practices the complaint as amended alleged, in substance, that the respondent formed, dominated, inter- fered with, and contributed financial and other support to the Amal- gamated, in that the respondent expressed opposition to the United and encouraged and intimidated its employees to affiliate with the Amalgamated; that the respondent entered into an illegal closed-shop contract with the Amalgamated; that the respondent discriminatorily locked out and terminated the employment of and refused to reinstate 35 named individuals because they joined the United and refused to join the Amalgamated; and that the respondent, by the aforesaid and other acts, interfered with, restrained, and coerced its employees in the exercise of their rights guaranteed in Section 7 of the Act. On January 11, 1939, the Amalgamated filed its motions to intervene in the proceedings and to transfer the hearing from Waco to Fort Worth, Texas. The motion to intervene was granted January 14, 1939.2 On January 17, 1939, the respondent filed an answer to the com- plaint in which it admitted the allegations concerning the scope and nature of its business and the closed-shop contract with the Amalga- mated; but denied that it had committed an unfair labor practice by entering into a closed-shop contract with the Amalgamated and denied all other allegations with respect to the unfair labor practices. On January 31, 1939, the Amalgamated filed an answer to the complaint, as amended, in which it denied, inter alia, that the respondent had committed an unfair labor practice by entering into the closed-shop contract with it. Pursuant to notice, a hearing was held on January 23, 30, and 31, and on February 1, 2, 3, 4, and 8,3 1939, at Waco, Texas, before Earl S. Bellman, the Trial Examiner duly designated by the Board. The Board, the respondent, the United and the Amalgamated participated in the hearing and were represented by counsel. Full opportunity to be heard, to examine and cross-examine witnesses, and to introduce evidence bearing upon the issues was afforded all parties. During the course of the hearing the respondent filed a motion to dismiss the alle- gations in the complaint, as amended, relative to the closed-shop contract. The motion was denied. Thereafter, the Trial Examiner granted without objection the motions made by counsel for the Board to dismiss the complaint, as amended, in so far as it alleged that the 2 The record does not disclose a formal ruling on the motion to transfer the hearing, but the requested transfer was not made. a All parties agreed that they were duly notified of the hearing on February 8, 1939. 1240 DECISIONS OF NATIONAL LABOR RELATIONS BOARD Amalgamated was dominated by the respondent and that the Amal- gamated's contract was the culmination of the respondent's plan to engage in unfair labor practices, and to substitute, therefor, an alle- gation that the respondent expressed opposition to the United; and to dismiss the complaint, as amended, in so far as it alleged the dis- criminatory discharge of two persons. The afore-mentioned motions were made contingent upon the Board's approval of the settlement stipulation set forth below. The Board hereby affirms the afore- mentioned rulings of the Trial Examiner. During the course of the hearing the Trial Examiner made several rulings on motions and on objections to the admission of evidence. The Board has reviewed the rulings of the Trial Examiner and finds that no prejudicial errors were committed. The rulings are hereby affirmed. On February 4, 1939, the respondent, the United, the Amalgamated and counsel for the Board entered into a stipulation in settlement of the case. This stipulation provides as follows :4 STIPULATION It is hereby stipulated and agreed by and between Oberman and Company, respondent herein, and the United Garment Workers of America and Local 229 thereof, the complaining Union herein, and the Amalgamated Clothing Workers of Amer- ica and Local 334 thereof, the intervenor herein, and L. N. D. Wells, Jr. and A. B. Martin, Attorneys for the Sixteenth Region of the National Labor Relations Board, as follows : I Respondent, Oberman and Company, is a Missouri corporation, organized in 1932, with its domicile and principal place of busi- ness in Jefferson City, Missouri. Respondent, Oberman and Company, operates three garment factories, located at Jefferson City, Missouri, Springfield, Missouri, and Waco, Texas. Re- spondent operates in the State of Texas pursuant to authority granted by a permit to do business in the State of Texas, issued by the Secretary of State of Texas in November, 1936. Respondent, at its Waco, Texas plant, manufactures men's work clothing, both shirts and trousers. Raw materials used in the manufacture of these products include cloth, thread, buttons, etc. In the year 1938, respondent purchased approximately 4 Because it is identical with Appendix "A," infra, of the Board's Order in this case, Exhibit "A" attached to the stipulation is not set forth. OBERMAN AND COMPANY ET AL. 1241 $599,000.00 worth of such materials, of which more than ninety percent were purchased from States of the United States other than the State of Texas, and were transported by rail, truck and water from States of the United States other than the State of Texas, into the State of Texas. The products of respondent's Waco plant had a value in the year 1938 of approximately Eight Hundred and Fifty Thousand ($850,000.00) Dollars, of which approximately Ninety-Five percent was shipped to States of the United States other than the State of Texas. Respondent's principal customers include Sears-Roebuck and Company, Montgomery Ward, and J. C. Penney Company. Ap- proximately Ninety-Eight percent of the products of re- spondent's Waco plant are distributed nationally through the above named customers. All financial transactions involving the respondent's Waco plant are handled through respondent's main office, located at Jefferson City, Missouri, and sales of products of respondent's Waco plant are made through respondent's Jefferson City office by several traveling salesmen and a sales office which respondent maintains in New York City, New York. Respondent employs approximately four hundred and fifty (450) persons at its Waco, Texas plant. II Respondent agrees and admits that it is engaged in interstate commerce, within the meaning of Section 2, Subdivision (6) and (7) of the National Labor Relations Act, and that respondent is subject to the jurisdiction of the National Labor Relations Board. III The National Labor Relations Board may forthwith make jurisdictional findings based upon respondent's admission con- tained in respondent's answer of the truth of the allegations of paragraphs one, two, three and four of the complaint herein, and upon the facts stipulated above, and upon the testimony hereto- fore taken in these proceedings. IV All parties hereto hereby waive their right to further hearing in this matter, and also waive the making of findings of fact and conclusions by the National Labor Relations Board. 1242 DECISIONS OF NATIONAL LABOR RELATIONS BOARD V All parties hereto agree and consent that the National Labor Relations Board may forthwith enter an Order providing as follows : The respondent, Oberman and Company, shall: 1. Cease and desist from interfering with, restraining, or coercing its employees in the exercise of their rights to self organ- ization; to form, join or assist labor organizations; to bargain collectively through representatives of their own choosing; and to engage in concerted activities for the purpose of collective bargaining or other mutual aid or protection, as guaranteed by Section 7 of the National Labor Relations Act; 2. Cease and desist from discriminating in regard to hire or tenure of employment of any of its employees by discharging, locking out, or in any other manner discriminating against any of said employees for the purpose of discouraging membership in the United Garment Workers of America, or any other labor organization, provided that nothing in this Order shall preclude respondent from making or abiding by an agreement with a labor organization (not established, maintained, or assisted by any action defined in the National Labor Relations Act as an unfair labor practice) to require as a condition of employment membership therein; 3. Take the following affirmative action to effectuate the poli- cies and purposes of the National Labor Relations Act : (a.) Offer immediate and full reinstatement without prejudice to any seniority or other rights and privileges, to the individuals named on Exhibit "A" attached hereto; (b.) Make whole the individuals named on Exhibit "A" at- tached hereto for any losses of pay they have suffered as a result of their lockout by respondent, on April 25, 1938, to the extent of paying to each of them the sum of money set forth opposite his name on Exhibit "A" attached hereto; (c.) Post and keep posted, for a period of at least sixty (60) days from the date of the Order herein agreed to, in several con- spicuous places throughout its Waco plant, copies of the Order herein agreed to ; (d.) Notify the Regional Director for the Sixteenth Region of the National Labor Relations Board, within ten (10) days of the date of the issuances of the Order herein agreed to, of the steps the respondent, Oberman and Company, has taken to comply herewith. a At the hearing the words "of the date of the issuance" of the order were inserted without objection. OBERMAN AND COMPANY ET AL. VI 1243 All parties hereto agree and consent to the entry by the Fifth Circuit Court of Appeals of an enforcement Order embodying the terms of the Board Order agreed to above, and all parties hereby waive further notice of the entry of such Court order. VII All stipulations herein made are subject to the approval of the National Labor Relations Board, and should the National Labor Relations Board fail to approve the terms and conditions con- tained herein, this stipulation shall be null and void and of no effect, and the proceedings in this matter shall be in the same status as if no stipulation had been entered into. On February 7, 1939, the Board issued its order approving the above-mentioned stipulation and transferring the proceedings to the Board for the purpose of entry of a decision and order by the Board. Upon the entire record in the case, the Board makes the following : FINDINGS OF. FACT I. THE BUSINESS OF THE RESPONDENT The respondent, a Missouri corporation, with its principal place of business in Jefferson City, Missouri, and a plant at Waco, Texas, is engaged in the manufacture of men's work clothing including shirts and trousers. The raw materials used in.the manufacturing opera- tions of the respondent at its Waco plant include cloth, thread, and buttons. During the year of 1938, the respondent purchased approxi- mately $599,000 worth of raw materials of which more than 90 per cent were received from points outside the State of Texas. During the same year the products of the respondent's Waco plant had a value of $850,000 of which approximately 95 per cent were shipped to points outside the State of Texas. The respondent employs approxi- mately 450 persons at its Waco, Texas, plant. We find that the above-described operations constitute a continu- ous flow of trade, traffic, and commerce among the several States. ORDER Upon the basis of the above findings of fact, stipulation, and the entire record in the case, and pursuant to Section 10 (c) of the 1244 DECISIONS OF NATIONAL LABOR RELATIONS BOARD National Labor Relations Act, the National Labor Relations Board hereby orders that Oberman and Company, Waco, Texas, shall: 1. Cease and desist from : (a) Interfering with, restraining, or coercing its employees in the exercise of their rights to self-organization, to form, join, or assist labor organizations, to bargain collectively through representatives of their own choosing, and to engage in concerted activities for the purpose of collective bargaining or other mutual aid or protection, as guarantees) by Section 7 of the National Labor Relations Act; (b) Discriminating in regard to hire or tenure of employment of any of its employees by discharging, locking out, or in any other manner discriminating against any of said employees for the pur- pose of discouraging membership in the United Garment Workers of America, or any other labor organization, provided that nothing in this Order shall preclude respondent from making or abiding by an agreement with a labor organization (not established, main- tained, or assisted by any action defined in the National Labor Rela- tions Act as an unfair labor practice) to require as a condition of employment membership therein. 2. Take the following affirmative action to effectuate the policies and purposes of the National Labor Relations Act: (a) Offer immediate and full reinstatement without prejudice to any seniority or other rights and privileges, to the individuals named in Appendix "A" attached hereto and made a part hereof ; (b) Make whole the individuals named in Appendix "A", above mentioned, for any losses of pay they have suffered as a result of their lock-out by respondent, on April 25, 1938; to the extent of paying to each of them the sum of money set forth opposite his name in Appendix "A"; (c) Post and keep posted, for a period of at least sixty (60) days from the date of this Order, in several conspicuous places through- out its Waco plant, copies of this Order; (d) Notify the Regional Director for the Sixteenth Region of the National Labor Relations Board, within ten (10) days of the date of the issuance of this Order, of the steps the respondent, Oberman and Company, has taken to comply herewith. OBERMAN AND COMPANY ET AL. 1245 EXHIBIT A Margaret Anderson---------- $111.60 Lillie Belle Olson____________ $50.10 Bernice Fillingame ---------- 68.40 Muriel Peters________________ 104.70 Beryl Payne_________________ 97.80 Georgia Forrest______________ 114.90 Myrtle Payne________________ 113.10 Jewell Murphree_____________ 106.20 Janie West__________________ 111.90 Ruby Lee Reid_______________ 52.50 Minnie Thomas______________ 97.80 Evalene Sims________________ 116.10 Ella Bee Lippard ------------ 82.80 Gladys Sims ----------------- 69.60 Lucille Handlin______________ 98.40 Coy Payne___________________ 120.30 Melba Norman_______________ 96.00 C. L. Forest_________________ 111.60 Mallie Clemmons ------------ 30.00 Loraine Dorris_______________ 124.80 Myrtle Chorice -------------- 43.80 Christine Staudt_____________ 104.40 Edith Earle Hunt___________ 54.90 Reba Drake__________________ 105.90 Ottis Anderson_______________ 113.10 Ruby Lee Keith______________ 87.90 Pearl Jones__________________ 100.50 Louise Shaw_________________ 65.10 Doris Gray__________________ 120.00 Violet Bowen________________ 84.30 Ode Harwell ----------------- 103.50 Lorene Good_________________ 56.40 Inez Scott___________________ 81.60 1 The stipulation incorrectly designates as "0. D." Harwell.