United Container Company

In the Matter of UNITED CONTAINER COMPANY and UNITED PAPER WORKERS OF AMERICA, AFFILIATED WITH CONGRESS FOR INDUSTRIAL ORGANIZATIONS and UNITED CONTAINER COMPANY SHOP UNION, PARTY TO THE CONTRACT Cases Nos. R-1324 and C-1238.Decided April 27, 1939 Corrugated Box and Container Manufacturing Industry-Settlement : stipu- lation providing for compliance with the Act, including reinstatement without back pay, disestablishment of and abrogation of contract with company-domi- nated union-Order: entered on stipulation-Investigation of Representatives: petition for, dismissed, in view of order to bargain. Mr. Weldon R. Monson, for the Board. Mr. William F. ,Starsinaic, of Philadelphia, Pa., for the respondent. Mr. Harry Lapensoltn and Mr. Ben Lapensohn, of Philadelphia, Pa., for the United Container Company Shop Union. Mr. Roscoe L. Barrow, of counsel to the Board. DECISION AND ORDER STATEMENT OF THE CASE On November 2, 1938, United Paper Workers of America, herein called the U. P. W. A., affiliated with the Congress of Industrial Or- ganizations, filed with the Regional Director for the Fourth Region (Philadelphia, Pennsylvania), a petition alleging that a question affecting commerce had arisen concerning the representation of employees of the United Container Company, herein called the re- spondent, and requesting an investigation and certification of repre- sentatives pursuant to Section 9 (c) of the National Labor Relations Act, 49 Stat. 449, herein called the Act. On November 2, 1938, the U. P. W. A. filed charges and on Feb- ruary 14, 1939, amended charges with the Regional Director for the Fourth Region against the respondent, alleging that the respondent had engaged in unfair labor practices affecting commerce within the meaning of Section 8 (1), (2), and (5) and Section 2 (6) and (7) of the Act. On January 24, 1939, the National Labor Relations Board, herein called the Board, acting pursuant to Article III, See- 12 N. L. R. B., No. 62. 521 522 DECISIONS OF NATIONAL LABOR RELATIONS BOARD tions 3 and 10, and Article II, Section 37, of National Labor Relations Board Rules and Regulations-Series 1, as amended, ordered a con- solidation of the cases and an investigation of the question concerning representation and authorized the Regional Director to conduct it and to provide for an appropriate hearing on the consolidated cases upon due notice. On February 15, 1939, the Board by the Regional Director issued its complaint against the respondent, alleging that the respondent had engaged in and was engaging in unfair labor practices within the meaning of Section 8 (1), (2), and (5) and Section 2 (6) and (7) of the Act. The complaint, notice of hearing thereon, and a subse- quent notice of postponement of the hearing, were duly served upon the respondent, the U. P. W. A., and the United Container Company Shop Union, herein called the Shop Union, a labor organization allegedly dominated and supported by the respondent. The petition, notice of hearing, and notice of postponement of hearing were also served upon the same parties. Concerning the unfair labor practices the complaint alleged, in substance, that although a majority of respondent's employees in a unit appropriate for collective bargaining had designated the U. P. W. A. as their representative, the respondent had refused to bargain with the U. P. W. A.; that the respondent caused the Shop Union to be organized, advised and urged its employees to join it, shut down the plant to enable its employees to attend meetings at which the said Shop Union was formed, and contributed financial and other support to it; that the respondent openly disparaged the U. P. W. A. and stated that under no circumstances would the re- spondent recognize it; that in protest thereof, the U. P. W. A. went out on strike; that the respondent started a back-to-work movement by offering strikers their old positions if they would withdraw from the U. P. W. A.; that the respondent offered "Yellow-Dog Contracts" to certain employees with pay increases of from 40 to 50 cents per hour if they should completely renounce their affiliation with the U. P. W. A.; and that the respondent by other acts interfered with, restrained, and coerced its employees in the exercise of their rights guaranteed in Section 7 of the Act. The respondent thereafter filed its answer dated March 2, 1939, in which it admitted the allegations concerning the nature and scope of its business, the appropriate unit, and the status of U. P. W. A. as a labor organization under the Act, but denied the unfair labor prac- tices as alleged in the complaint. Pursuant to notice and postponement thereof, a hearing was held on March 9,10, 13) 14, and 15, 1939, at Philadelphia, Pennsylvania, before Martin Raphael, the Trial Examiner duly designated by the Board. UNITED CONTAINER COMPANY 523 The respondent, the Shop Union, and the Board were represented by counsel. Full opportunity to be heard, to examine and cross-examine witnesses, and to introduce evidence bearing on the issues was afforded all parties. During the hearing, on March 15, 1939, a written stipula- tion was entered into by the respondent, the Shop Union, the U. P. W. A., and counsel for the Board, and was included in the record as Board's Exhibit 14. This stipulation provides as follows : It is hereby stipulated by and between United Container Com- pany, respondent herein; United Paper Workers of America, party herein; and United Container Company Shop Union, party to the contract; and Weldon P. Monson, attorney for the National Labor Relations Board, that: 1. Upon charges duly filed by the United Paper Workers of America, the National Labor Relations Board, by the Regional Director for the Fourth Region, acting pursuant to authority granted in Section 10 (b) of the National Labor Relations Act, 49 Stat. 449, and its Rules and Regulations, Series 1, as amended, Article IV, Section 1, issued its Complaint on the 15th day of February, 1939, against the United Container Company, respond- ent herein. II. Respondent, United Container Company, is and has been, since on or about February 11, 1938, a registered company, with the office of the Secretary of the Commonwealth, Commonwealth of Pennsylvania, under the Fictitious Names Act, and is organ- ized and is existing by virtue of said Act, having its principal of- fice and place of business in the City and County of Philadelphia, Commonwealth of Pennsylvania, and is now and has continuously, for a long period of time, been engaged at a place of business at 12th and Carpenter Streets in the City and County of Philadel- phia, in the Commonwealth of Pennsylvania, in the manufacture, sale and distribution of corrugated boxes and containers. III. The respondent, United Container Company, in the course and conduct of its business at its said 12th and Carpenter Streets plant, uses among other things the following materials, supplies or commodities : cardboard, paper, glue, and printing ink; and acquires 50% of these materials in states of the United States other than the Commonwealth of Pennsylvania, and in the course and conduct of its business, causes, and has continu- ously caused, 50% of its raw materials to be transported in inter- state commerce from and through states of the United States other than the Commonwealth of Pennsylvania to its 12th and Carpenter Streets plant in the City and County of Philadelphia, in the Commonwealth of Pennsylvania, and there these raw materials are manufactured by the respondent into the products enumerated in paragraph II above. 524 DECISIONS OF NATIONAL LABOR RELATIONS BOARD IV. The respondent, United Container Company, manufac- tures the products set forth above in paragraph II at its 12th and Carpenter Streets plant, and causes, and has continuously caused, approximately 35% of these products produced by it to be sold and transported in interstate commerce from its 12th and Carpenter Streets plant to, into and through states of the United States other than the Commonwealth of Pennsylvania. The total amount of products manufactured, sold and distributed by the respondent at its 12th and Carpenter Streets plant for the year 1938 and since the respondent began its operations at said location, was approximately $250,000. V. The respondent, United Container Company, is engaged in interstate commerce within the meaning of the National Labor Relations Act and the decisions of the United States Supreme Court thereunder. VI. The respondent, United Container Company, in the course and conduct of its business at its 12th and Carpenter Streets plant, as above set forth, employs approximately 56 employees including supervisory, office and clerical help. VII. The taking of further testimony or evidence before the Trial Examiner in this matter and making the findings of facts and conclusions by the Board pursuant to the provisions of the National Labor Relations Act, are hereby expressly waived by the respondent and the United Container Company Shop Union, partly to the contract herein. VIII. Upon this stipulation if approved by the National Labor Relations Board and upon the pleadings herein, an Order may forthwith be entered by said Board and by the appropriate United States Circuit Court of Appeals, without further notice of application for enforcement, provided as follows : IX. The respondent, United Container Company, and its officers, agents, successors and assigns shall: 1. Cease and desist (a) From, in any manner interfering with, restraining or coercing its employees in the exercise of their rights to self- organization to form, join, or assist labor organizations in gen- eral and United Paper Workers of America, in particular, to bargain collectively through representatives of their own choos- ing and to engage in concerted activities for the purposes of collective bargaining or other mutual aid or protection as guar- anteed in Section 7 of the National Labor Relations Act; (b) From discouraging membership in United Paper Workers of America, affiliated with Congress for Industrial Organiza- tions, or any other labor organization of its employees or en- UNITED CONTAINER COMPANY 525 couraging membership in United Container Company Shop Union, party to the contract, or its successor, or successors, or any other labor organization of its employees; (c) From recognizing the United Container Company Shop Union, party to the contract, as the exclusive representative of its employees; (d) From refusing to bargain collectively with United Paper Workers of America, affiliated with the Congress for Industrial Organizations, as the exclusive representative of its maintenance and production employees at its 12th and Carpenter Streets plant, exclusive of supervisory employees having power to hire and fire, office and clerical employees, and salesmen; (e) From, in any manner dominating or interfering with the administration of United Container Company Shop Union, party to the contract, or its successor, or successors, and with the formation or administration of any other labor organization of its employees, and from contributing aid or support to said organization; from recognizing or dealing in any manner with United Container Company Shop Union, party to the contract, or any successor thereto, or any group that purports to represent said organization; or from forming or maintaining any groups or designating any individuals to act as the representative of the employees for the purposes of collective bargaining respecting any terms or conditions of employment; (f) From giving effect to its contract with United Container Company Shop Union, party to the contract; 2. Take the following affirmative action which the Board finds will effectuate the purposes of the Act : (a) Withdraw all recognition from United Container Com- pany Shop Union as the representative of its employees or any of them for the purposes of dealing with the respondent con- cerning grievances, labor disputes, wages, rates of pay, hours of employment or other conditions of employment; and so disestab- lish said United Container Company Shop Union as the repre- sentative of its employees; (b) Upon request, bargain collectively with United Paper Workers of America, affiliated with Congress for Industrial Organizations, as the exclusive representative of all its mainte- nance and production employees at its 12th and Carpenter Streets plant, excluding supervisory employees having power to hire and fire, office and clerical employees, together with salesmen. in respect to rates of pay, wages, hours of employment, and other conditions of employment; (c) Offer to each of the employees named in Appendix "A" annexed hereto and made a part hereof, on or before May 10, 526 DECISIONS OF NATIONAL LABOR RELATIONS BOARD 1939, full and unconditional reinstatement, without back pay, to their former positions without loss of seniority to such extent as previously enjoyed, and without prejudice to any rights and privileges previously enjoyed by them ; (d) Inform in writing the officers of United Container Com- pany Shop Union, party to the contract that respondent will not, in any manner, deal with or recognize United Container Com- pany Shop Union; (e) Inform all of its officials and agents, including its general manager, Murray Weiner, and its plant superintendent, Charles Albanese, and its representatives, Lester Kardon and Eugene Kardon, together with all others employed in a supervisory capacity that they shall not threaten employees in any manner because of their membership in any labor organization in general, or the United Paper Workers of America in particular; (f) Post and keep visible in a prominent place in each depart- ment of respondent's 12th and Carpenter Streets plant for a period of sixty (60) days after receipt of approval of this stipu- lation, copies of the Order entered by the National Labor Rela- tions Board and notices stating that the respondent will cease and desist in the manner aforesaid, and respondent will take the affirmative action as aforesaid; (g) Notify the Regional Director for the Fourth Region in writing of compliance with the foregoing Order within thirty (30) days from the date of its entry by the Board. X. It is stipulated and agreed that the appropriate United States Circuit Court of Appeals may, upon application of the National Labor Relations Board, enter a decree enforcing the aforesaid Order of the Board, the respondent and United Con- tainer Company Shop Union hereby expressly waiving their rights to contest the decree in the appropriate Circuit Court of Appeals, and, further, said application may be made at any time convenient to said Board, the respondent and United Container Company Shop Union expressly waiving their rights to receive notice of the filing by the National Labor Relations Board of said application for the entry of such a decree. XI. It is further stipulated and agreed that this stipulation is subject to the approval of the National Labor Relations Board. On March 29,1939, the respondent, the Shop Union, the U. P. W. A., and counsel for the Board entered into an amendment to the above- mentioned stipulation inserting the words "record and" after the words "and upon the" appearing in paragraph VIII. On April 3, 1939, the Board issued an order approving the above stipulation, as amended, making it part of the record, and transfer- UNITED CONTAINER COMPANY 527 ring the proceeding to the Board for the purpose of entry of a decision and order by the Board pursuant to the provisions of the stipulation. Upon the entire record in the case, the Board makes the following : FINDINGS OF FACT I. THE BUSINESS OF THE RESPONDENT The respondent is a company registered with the office of the Secretary of the Commonwealth of Pennsylvania, under the Fictitious Names Act, by virtue of which it is organized. It has its principal office and place of business in Philadelphia, Pennsylvania, where it is engaged in the manufacture, sale, and distribution of corrugated boxes and containers. The principal raw materials used by respond- ent are cardboard, paper, glue, and printing ink. Fifty per cent of the raw materials used in 1938 were shipped to respondent's Phila- delphia office from points outside of Pennsylvania. The products made at the Philadelphia plant during 1938 grossed approximately $250,000. Approximately 35 per cent of these products were shipped to points outside of Pennsylvania. We find that the operations described above constitute a continuous flow of trade, traffic, and commerce among the several States. ORDER Upon the basis of the above findings of fact, the stipulation, as amended, and the entire record in the case, and pursuant to Section 10 (c) of the National Labor Relations Act, the National Labor Rela- tions Board hereby orders that the United Container Company, Philadelphia, Pennsylvania, and its officers, agents, successors, and assigns, shall: 1. Cease and desist from : (a) In any manner interfering with, restraining, or coercing its employees in the exercise of their rights to self-organization to form, join, or assist labor organizations in general and United Paper Workers of America, in particular, to bargain collectively through representatives of their own choosing and to engage in concerted activities for the purposes of collective bargaining or other mutual aid or protection as guaranteed in Section 7 of the National Labor Relations Act; (b) Discouraging membership in United Paper Workers of Amer- ica, affiliated with Congress of Industrial Organizations, or any other labor organization of its employees or encouraging membership in United Container Company Shop Union, party to the contract, or its successor, or successors, or any other labor organization of its employees; 528 DECISIONS OF NATIONAL LABOR RELATIONS BOARD (c) Recognizing the United Container Company Shop Union, party to the contract, as the exclusive representative of its employees; (d) Refusing to bargain collectively with United Paper Workers of America, affiliated with the Congress of Industrial Organizations, as the exclusive representative of its maintenance and production employees at its 12th and Carpenter Streets plant, exclusive of su- pervisory employees having power to hire and fire, office and clerical employees, and salesmen; (e) In any manner dominating or interfering with the adminis- tration of United Container Company Shop Union, party to the con- tract, or its successor, or successors, and with the formation or ad- ministration of any other labor organization of its employees, and from contributing aid or support to said organization; from recog- nizing or dealing in any manner with United Container Company Shop Union, party to the contract, or any successor thereto, or any group that purports to represent said organization; or from forming or maintaining any groups or designating any individuals to act as the representative of the employees for the purposes of collective bargaining respecting any terms or conditions of employment; (f) Giving effect to its contract with United Container Company Shop Union, party to the contract. 2. Take the following affirmative action which the Board finds will effectuate the purposes of the Act: (a) Withdraw all recognition from United Container Company Shop Union as the representative of its employees or any of them for the purposes of dealing with the respondent concerning grievances, labor disputes, wages, rates of pay, hours of employment, or other con- ditions of employment; and so disestablish said United Container Company Shop Union as the representative of its employees; (b) Upon request, bargain collectively with United Paper Workers of America, affiliated with Congress of Industrial Organizations, as the exclusive representative of all its maintenance and production em- ployees at its 12th and Carpenter Streets plant, excluding supervisory employees having power to hire and fire, office and clerical employees, together with salesmen, in respect to rates of pay, wages, hours of employment, and other conditions of employment; (c) Offer to each of the employees named in Appendix "A" annexed hereto and made a part hereof, on or before May 10, 1939, full and unconditional reinstatement, without back pay, to their former posi- tions without loss of seniority to such extent as previously enjoyed, and without prejudice to any rights and privileges previously enjoyed by them ; (d) Inform in writing the officers of United Container Company Shop Union, party to the contract that respondent will not, in any UNITED CONTAINER COMPANY 529 manner, deal with or recognize United Container Company Shop Union; (e) Inform all of its officials and agents including its general manager, Murray Weiner, and its plant superintendent, Charles Al- banese, and its representatives, Lester Kardon and Eugene Kardon, together with all others employed in a supervisory capacity that they shall not threaten employees in any manner because of their membership in any labor organization in general, or the United Paper Workers of America in particular; (f) Post and keep visible in a prominent place in each department of respondent's 12th and Carpenter Streets plant for a period of sixty (60) days after receipt of approval of this stipulation, copies of the order entered by the National Labor Relations Board and notices stating that the respondent will cease and desist in the man- ner aforesaid, and respondent will take the affirmative action as aforesaid; (g) Notify the Regional Director for the Fourth Region in writing of compliance with the foregoing Order within thirty (30) days from the date of its entry by the Board. AND IT IS FURTHER ORDERED that the petition for an investigation and certification of representatives pursuant to Section 9 (c) of the Act, filed by United Paper Workers of America, affiliated with the Congress of Industrial Organizations, be, and it hereby is, dismissed. APPENDIX "A" Alvin Beaman Leonard Merlino George Barber Nicholas Micucci Anthony Di Bello Joseph Di Bello Angelo Perdicaro James Milazzo James Pallizi Jerry Soriano Philip Gagliardi John Fanelli Carmine Cianfrani •