Rushmore Paper Mills, Inc.

In the Matter Of RUSHMORE PAPER MILLS, INC. WMI INTERNATIONAL BROTHERHOOD PULP, SULPHITE AND PAPER MILL WORKERS AND IN- TERNATIONAL BROTHERHOOD OF PAPER MAKERS and INTERNATIONAL BROTHERHOOD OF PULP, SULPHITE AND PAPER MILL WORKERS, NAT- URAL DAM LOCAL No. 3691 and INTERNATIONAL BROTHERHOOD OF PAPER MAKERS, MARBLE CITY LOCAL No. 671 Cases Nos. C-121.2 and R-1412.-Decided August 14, 1939 Paper Manufacturing Industry-Settlement: stipulation providing for com- pliance with the Act, including reinstatement-Order: entered on stipulation- Inve8tigation of Representatives : petition for dismissed in view of results of consent election and order to bargain collectively pursuant to stipulation.. Mr. Peter J. Crotty, for the Board. Mr. Loren E. Harter and Mr. Daniel Scanlon, both of Watertown, N. Y., for the respondent. Ribyat, Walsh & Myers, by Air. John J. Walsh, of Utica, N. Y., for the Unions. Mr. F. Hamilton Seeley, of counsel to the Board. DECISION AND ORDER STATEMENT OF THE CASE Upon charges and amended charges duly filed by International Brotherhood Pulp, Sulphite and Paper Mill Workers and Interna- tional Brotherhood of Paper Makers, herein called the Unions, the National Labor Relations Board, herein called the Board, by the Regional Director for the Third Region (Buffalo, New York), is- sued its complaint dated January 16, 1939, against the Rushmore Paper Mills, Inc., herein called the respondent, alleging that the respondent had engaged in and was engaging in unfair labor prac- tices 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 1 The complaint was amended at the consolidated hearing, without objection by counsel for the respondent , so as to add the two locals as parties to the proceeding. 14 N. L. R. B., No. 40. 512 RUSHMORE PAPER MILLS, INCORPORATED 513 notice of hearing thereon were duly served upon the respondent and the Unions. The respondent filed its answer on January 23, 1939, in which it admitted some of the specific facts alleged in the com- plaint, but denied the allegations of unfair labor practices. Concerning the unfair labor practices, the complaint alleged, in substance, that the respondent terminated the employment of and refused to reinstate two named employees because they joined and assisted the International Brotherhood of Paper Makers and en- gaged with other employees of the respondent in concerted activities for the purposes of collective bargaining and other mutual aid and protection ; that the respondent required its employees to sign "loy- alty pledges"; and that the respondent, by the aforesaid acts, and by making anti-union speeches, by espionage, and by other acts, inter- fered with, restrained, and coerced its employees in the exercise of the rights guaranteed in Section 7 of the Act. Pursuant to notice, a hearing was held on January 26, 27, 28, 30, 31, and February 1, 1939, at Gouverneur, New York, before Howard Myers, the Trial Examiner duly designated by the Board. The re- spondent, the Unions, and the Board were represented by counsel and participated in the hearing. 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 Trial Examiner made sev- eral rulings on motions and on objections to the admission of evi-. deuce. The Board has reviewed the rulings of the Trial Examiner and finds that no prejudicial errors were committed. The rulings are hereby affirmed. On March 10, 1939, the Trial Examiner filed his Intermediate Re- port finding that the respondent had engaged in unfair labor prac- tices affecting commerce within the meaning of Section 8 (1) and (3) and Section 2 (6) and (7) of the Act as alleged in the com- plaint. The Trial Examiner recommended that the respondent cease a.nd desist from its unfair labor practices; offer reinstatement with back pay to the two named employees found to have been unlawfully discharged, and post notices of its intention to comply with the Act. On March 23, 1939, the respondent filed its exceptions to the In- termediate Report and a request to present oral argument before the Board upon the issues raised by its exceptions. The Unions filed their brief, dated April 8, 1939, in support of the findings of fact and conclusions of law made in the Intermediate Report. Acting pursuant to Article IT, Section 36, of ' National Labor Relations Board Rules and Regulations-Series 1, as amended, the Board issued its order, dated April 15, 1939, directing that the record be reopened, that a further hearing be held, and authorizing the 514 DECISIONS OF NATIONAL LABOR RELATIONS BOARD Regional Director to accept a supplement to the charge, and to issue a supplement to the complaint and notice of hearing thereon. On March 10, 1939, the Unions filed with the Regional Director a petition alleging that a question affecting commerce had arisen concerning the representation of the respondent's employees, and requesting an investigation and certification of representatives pur- suant to Section 9 (c) of the Act. On April 19, 1939, the Board, acting pursuant to Section 9 (c) of the Act and Article III, Section 3, of the National Labor Relations Board Rules and Regulations-Series 1, as amended, ordered an investigation and authorized the Regional Director to conduct it and to provide for an appropriate hearing upon due notice. The Board further ordered, pursuant to Article II, Section 37 (b), and Article III, Section 10 (c) (2), of said Rules and Regulations, that the two cases be consolidated for all purposes. Upon supplemental charges and amended supplemental charges duly filed by the Unions, the Regional Director issued a supplement to the complaint, dated April 28, 1939, alleging that the respondent had engaged in and was engaging in unfair labor practices affecting commerce within the meaning of Section 8 (1), (3), (4), and (5), and Section 2 (6) and (7) of the Act. Copies of the supplement to the complaint, amended supplemental charge, petition, order reopening record and order of consolidation, and notice of consolidated investi- • gation and hearing thereon were duly served upon the respondent and the Unions. On May 8, 1939, the respondent filed its answer to the supplement to the complaint in which it admitted the allegations concerning the nature and scope of its business but denied the allega- tions of unfair labor practices. Concerning the unfair labor practices, the supplement to the com- plaint alleged, in substance, that although a majority of the employ- ees in an appropriate unit had designated the Unions as their repre- sentative for the purposes of collective bargaining, the respondent refused to bargain collectively with the Unions ; that the respondent terminated the employment of and refused to reinstate Felix Levison, an employee of the respondent, because he joined and assisted the International Brotherhood Pulp, Sulphite and Paper Mill Workers, and because he engaged with other employees of the respondent in concerted activities for the purposes of collective bargaining and other mutual aid and protection; that the respondent gave 10 named employees less work than it gave other employees occupying com- parable jobs, because they joined and assisted the International Brotherhood Pulp, Sulphite and Paper Mill Workers, and engaged in concerted activities for the purposes of collective bargaining and other mutual aid and protection; that the respondent gave less work RUSHMORE PAPER MILLS, INCORPORATED 515 to two named employees than to other employees occupying compar- able jobs, because they gave testimony at a hearing conducted under the Act by order of the Board; and that the respondent, by the above- mentioned activities, and by posting anti-union notices, making derogatory statements concerning the Unions, and by threatening its employees with discharge if they became or remained members of the Unions, and by other acts, interfered with, restrained, and coerced its employees in the exercise of the rights guaranteed in Section 7 of the Act. Pursuant to notice a joint hearing was held on May 29 and 31, 1939, at Gouverneur, New York, before Whitley P. McCoy, the Trial Ex- aminer duly designated by the Board. The respondent, the Unions, and the Board were represented by counsel and participated in the hearing. Full opportunity to be heard, to examine and cross-examine witnesses, and to produce evidence bearing upon the issues was afforded all parties. 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 June 14, 1939, the respondent, the Unions, and counsel for the Board entered into a stipulation in settlement of the case. This stip- ulation provides as follows : IT IS HEREBY STIPULATED AND AGREED by and between Rushmore Paper Mills, Inc., (hereinafter called the Respondent), Inter- national Brotherhood of Pulp, Sulphite and Paper Mill Workers, and International Brotherhood of Pulp, Sulphite and Paper Mill Workers, Natural Dam Local No. 369, and International Brotherhood of Paper Makers, and International Brotherhood of Paper Makers, Marble City Local No. 67, (hereinafter called the Unions), and Peter J. Crotty, Attorney for the National Labor Relations Board, for the purposes of the above entitled proceeding as follows : I (a) Rushmore Paper Mills, Inc., a New York corporation is engaged in the production, manufacture, sale, and distribution of tissue paper and other products at its Natural Dam plant. I (b) The great bulk of its raw materials are transported from points outside the State of New York by railroad to its Natural Dam, New York, plant. I (c) Its purchases for the year 1938 amounted to upwards of $150,000.00 and its sales for the same period were" in excess of $750,000.00. I (d) Sixty per cent of its products are shipped by railroad and. trucks to cities and states throughout the United States. 516 DECISIONS OF NATIONAL LABOR RELATIONS BOARD II (a) The Unions are labor organizations within the meaning of the National Labor Relations Act. II (b) All the production and maintenance employees in the Respondent's Natural Dam, New York, plant, exclusive of all those employees on weekly, monthly or yearly salary, and super- visory and clerical employees, constitute a unit appropriate for the purposes of collective bargaining within the meaning of Sec- tion 9 (b) of the National Labor Relations Act. III. IT IS HEREBY FURTHER STIPULATED AND AGREED that the Regional Director for the Third Region of the National Labor Relations Board may, on not less than five days' notice after the National Labor Relations Board's approval of this stipulation, conduct a consent election among those of the Respondent's em- ployees in the appropriate unit as above set forth in paragraph II (b), and that if a majority of the said employees who vote in said election choose thereby the Unions as their collective bar- gaining representatives, the Respondent will bargain collectively with the said Unions. IV. IT IS HEREBY FURTHER STIPULATED AND AGREED that the payroll to be used for said consent election shall be that for the week ending April 1, 1939, and that James Hayes and Leon Bray- ton in addition to all those employees on said payroll eligible to vote, shall also be eligible to vote, and that the Unions shall be named on the ballot thusly : "The International Brotherhood of Pulp, Sulphite and Paper Mill Workers, Natural Dam, Local No. 369", and "The International Brotherhood of Paper Makers, Marble City, Local No. 67". V. IT IS HEREBY FURTHER STIPULATED AND AGREED that the por- tion of the Supplement to the Complaint relating to the alleged discriminatory discharge of Felix Levison, and that portion of the Supplement to the Complaint relating to the alleged dis- crimination against Gladys Carson, Gene Conklin, Clifford Vernon, Ernest Bishop, Frank Whitton, Viola Powers, Floyd Carson, and Stanley Ferguson, and those portions of the Supple- ment to the Complaint having to do with the alleged discrimina- tion against Richard Trombley and Evelyn Young, within the meaning of Section 8 (3) and (4) of the Act, be dismissed. VI. IT IS HEREBY FURTHER STIPULATED AND AGREED that this Stipulation may be filed with the Chief Trial Examiner of the National Labor Relations Board at Washington, D. C., and when so filed shall constitute a part of the record in this case. VII. IT IS HEREBY FURTHER STIPULATED AND AGREED that upon the pleadings and transcript of the record, and upon this stipula- tion, Respondent does consent to the entry forthwith by the National Labor Relations Board, of the following: RUSHMORE PAPER MILLS, INCORPORATED ORDER 517. The National Labor Relations Board hereby orders that the Respondent, the Rushmore Paper Mills, Inc., its officers, agents, successors, and assigns, shall: 1. Cease and desist from : (a) In any manner interfering with, restricting 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 purposes of collective bargaining or other mutual aid and protection as guaranteed in Section 7 of the National Labor Relations Act. (b) From permitting its foremen and other supervisory officials in any way to make representation in any respect reflecting or purporting to reflect the attitude of the Respondent toward mem- bership in any labor organization. (c) Discharging, threatening, either directly or indirectly, or refusing to reinstate any of its employees for joining the Unions. (d) Discriminating in any manner either directly or indirectly, against any of its employees in regard to the hire or tenure of employment, for joining the Unions. 2. Take the following affirmative action which the Board finds will effectuate the policies of the Act : (a) On request reinstate at the Respondent's Natural Dam, New York, plant, to their former positions, James Hayes and Leon Brayton without prejudice to their seniority or other rights and privileges previously enjoyed. (b) Post in conspicuous places throughout its Natural Dam, New York, plant, copies -of the Order entered by the National Labor Relations Board, and notices, stating that the Respondent will cease and desist in the manner aforesaid, and the Respondent will take the affirmative action as aforesaid. Such notices will remain posted for a period of at least thirty days from the date of the posting thereof. (c) Notify the Regional Director for the Third Region of the National Labor Relations Board in writing within ten days of the date of this Order, what steps the Respondent has taken to comply therewith. 3. AND IT IS FURTHER ORDERED that the Supplement to the Com- plaint as to Felix Levison, Richard Trombley, Gladys Carson, Gene Conklin,- Clifford Vernon, Ernest Bishop, Frank Whitton, Viola Powers, Evelyn Young, Floyd Carson, and Stanley Fer- guson, be, and it hereby is dismissed. 518 DECISIONS OF NATIONAL LABOR RELATIONS BOARD VIII. If a majority of the employees in the appropriate bar- gaining unit as above set forth in paragraph II (b), voting in the consent election pursuant to paragraph III of this Stipula- tion, designate the Unions as their representatives for the pur- poses of collective bargaining, the Board shall enter the following : SUPPLEMENTAL ORDER The National Labor Relations Board hereby orders that the Respondent, the Rushmore Paper Mills, Inc., its officers, agents, successors, and assigns , shall: 1. Cease and desist from : Refusing to bargain collectively with the Unions as the exclu- sive representatives of its production and maintenance em- ployees, exclusive of all those employees on a weekly, monthly, or yearly salary, and supervisory and clerical employees. 2. Take the following affirmative action which the Board finds will effectuate the policies of the Act : (a) Upon request, to bargain collectively with the Unions or their representatives as the exclusive representatives of its pro- duction and maintenance workers, exclusive of all those em- ployees on a weekly, monthly, or yearly salary, and supervisory and clerical employees, with respect to rates of pay, hours of employment, and other conditions of employment. (b) Post in conspicuous places throughout its Natural Dam, New York, plant, copies of the Supplemental Order entered by the National Labor Relations Board, and notices stating that the Respondent will cease and desist in the manner aforesaid, and the Respondent will take the affirmative action as aforesaid. Such notices will remain posted for a period of at least thirty days from the date of the posting thereof. IX. THIS AGREEMENT is made for the purposes of settling all proceedings presently pending involving said Rushmore Paper Mills, Inc., and the National Labor Relations Board, and the agreement of Respondent to reinstate Hayes and Brayton is on the understanding that it shall not be required to pay them, nor either of them, any back wages. X. The stipulation herein made and the terms and provisions thereof, are made subject to the approval of the National Labor Relations Board and shall not be binding on any party if such approval be not given. XI. IT IS FURTHER STIPULATED AND AGREED, that the entire agreement by and between the parties, is contained within the terms of this stipulation and that there is no verbal agreement of any kind which varies, alters, or adds to the terms hereof. RUSHMORE PAPER MILLS, INCORPORATED 519 XII. If this stipulation is approved by the National Labor Relations Board, and if the National Labor Relations Board issues an Order and/or Supplemental Order in accordance with this stipulation, a confirmatory decree in accordance herewith may be entered by the appropriate United States Circuit Court of Appeals, without costs, and the Respondent, Rushmore Paper Mills, Inc., hereby consents to the entry of such decree, and waives further notice of application for such decree. The Board issued its order dated June 26, 1939, approving the above stipulation, and making it part of the record. It further ordered the case based upon the petition previously filed in this pro- ceeding, transferred to and continued before the Board. Pursuant to Articles III and IV of the stipulation hereinabove set out, a consent election by secret ballot was conducted on July 8, 1939, under the direction and supervision of the Regional Director for the Third Region (Buffalo, New York). As to the results of the secret ballot, the Regional Director re- ported as follows : Total Number Eligible to Vote----------------------- 196 Total Number of Votes Cast-------------------------- 184 Total Number of Votes for International Brotherhood of Pulp, Sulphite and Paper Mill Workers, Natural Dam Local No. 369, and International Brotherhood of Paper Makers, Marble City Local No. 67 ---------- 22 Total Number of Votes against International Brother- hood of Pulp, Sulphite and Paper Mill Workers, Natural Dam Local No. 369, and International Brotherhood of Paper Makers , Marble City Local No. 67------------------------------------------------ 5 Total Number of Challenged Ballots------------------ 7 Total Number of Blank Ballots-------------------- 0 Total Number of Void Ballots---- -------------------- 0 It is apparent from the above results of the consent election that the Unions have been selected by a majority of the respondent's em- ployees in the appropriate unit, as their representatives for the pur- poses of collective bargaining. The Regional Director has advised the Board that no objections to his report on the ballot have been filed by any of the parties. Since the stipulation provides for an order requiring the respondent to bargain collectively with the Unions as the exclusive representative of the employees in the appropriate unit in the event that the Unions were designated by a majority of the employees in the appropriate unit as their representatives for the purposes of collective bargaining, it is not necessary to consider the petition for 'certification of representatives. Consequently, the petition for certification will be dismissed. 190935-40-vol. 14-34 520 DECISIONS OF NATIONAL LABOR RELATIONS BOARD Upon the above stipulation , and the entire record in the case, the Board makes the following : FINDINGS OF FACT 1. THE BUSINESS OF THE RESPONDENT Rushmore Paper Mills , Inc., a New York corporation, is en- gaged in the production, manufacture, sale, and distribution of tissue paper and other products at its Natural Dam plant. The great bulk of its raw materials are transported from points outside the State of New York by railroad to its Natural Dam , New York, plant. Its purchases for the year 1938 amounted to upwards of $150 ,000.00 and its sales for the same period were in excess of $750,000 .00. Sixty per cent of its products is shipped by railroad and trucks to cities and States throughout the United States. 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 , results of the consent election, and the entire record in the case, and pur- suant to Section 10 (c) of the National Labor Relations Act, the Na- tional Labor Relations Board hereby orders that Rushmore Paper Mills, Inc., its officers, agents, successors , and assigns, shall: 1. Cease and desist from : (a) Refusing to bargain collectively with the Unions as the exclu- sive representatives of its production and maintenance employees, ex- clusive of all those employees on a weekly , monthly, or yearly salary, and supervisory and clerical employees; (b) In any manner interfering with, restricting, or coercing its employees in the exercise of their rights to self-organization , to form, join, or assist labor organizations , to bargain collectively through rep- resentatives of their own choosing , and to engage in concerted activi- ties for the purposes of collective bargaining or other mutual aid and protection as guaranteed in Section 7 of the National Labor Relations Act ; (c) From permitting its foremen and other supervisory officials in any way to make representation in any respect reflecting or purporting to reflect the attitude of the respondent toward membership in any labor organization; (d) Discharging, threatening, either directly or indirectly, or re- fusing to reinstate any of its employees for joining the Unions; RUSHM[ORE PAPER HILLS, INCORPORATED 521 (e) Discriminating in any manner, either directly or indirectly, against any of its employees in regard to the hire or tenure of employ- ment, for joining the Unions. 2. Take the following affirmative action which the Board finds will effectuate the policies of the Act : (a) Upon request, bargain collectively with the Unions or their representatives as the exclusive representatives of its production and maintenance workers, exclusive of all those employees on a weekly, monthly, or yearly salary, and supervisory and clerical employees, with respect to rates of pay, hours of employment, and other conditions of employment; (b) On request reinstate at the respondent's Natural Dam; New York, plant, to their former positions, James Hayes and Leon Brayton without prejudice to their seniority or other rights and, privileges previously enjoyed; (c) Post in conspicuous places throughout its Natural Dam, Nev" York, plant, copies of this Order and notices, stating that the respond- ent will cease and desist in the manner aforesaid, and the respondent will take the affirmative action as aforesaid. Such notices will remain posted for a period of at least thirty (30) days from the date of posting thereof; (d) Notify the Regional Director for the Third Region of the Na- tional Labor Relations Board in writing within ten (10) days of the date of this Order, what steps the respondent has taken to comply herewith. IT IS FURTHER ORDERED that the supplement to the complaint as to Felix Levison, Richard Trombley, Gladys Carson, Gene Conklin, Clifford Vernon, Ernest Bishop, Frank Whitton, Viola Powers, Evelyn Young, Floyd Carson, and Stanley Ferguson, be, and. it hereby is, dismissed. AND IT Is FURTHER ORDERED that the petition for investigation and certification of representatives be, and it hereby is, dismissed.