General Metals Corp.

In the Matter of GENERAL METALS CORPORATION and AMALGAMATED ASSOCIATION OF IRON, STEEL AND TIN WORKERS OF NORTH AMERICA, THROUGH THE S. W. O. C. AFFILIATED WITH THE C. I. O. Case No. B-1628.-December 26, 1939 Iron Products Industry-Jurisdiction-Investigation of Representatives: con- troversy concerning representation of employees : employer disputes majority status and questions applicability of the Act-Unit Appropriate for Collective Bargaining : all production and maintenance employees , including hammer men, heaters, die sinkers, machinists , blacksmiths , blacksmith helpers; press opera- tors, press helpers, molders , molder helpers, core makers, and laborers, excluding supervisory employees having the power to hire and discharge and clerical employees ; no controversy as to-Election Ordered Mr. Frank A. Mouritsen, for the Board. Latham cC Watkins, by Mr. Paul R. Watkins, of Los Angeles, Calif., for the Company. Mr. John Despol, of Los Angeles, Calif., for the Union. Mr. Harold M. Weston, of counsel to the Board. DECISION AND DIRECTION OF ELECTION STATEMENT OF THE CASE On June 7, 1939, Lodge No. 2018 of Amalgamated Association of Iron, Steel and Tin Workers of North America, herein called the Union, filed with the Regional Director for the Twenty-first Region (Los Angeles, California) a petition, alleging that a question af- fecting commerce had arisen concerning representation of employees of the General Metals Corporation, Vernon, California, herein called the Company, and requesting an investigation and certification of representatives pursuant to Section 9 (c) of the National Labor Re- lations Act, 49 Stat. 449, herein called the Act. On October 16, 1939, the National Labor Relations Board, herein called the Board, acting pursuant to Section 9 (c) of the Act and Article III, Section 3, of Na- tional Labor Relations Board Rules and Regulations-Series 2, ordered an investigation and authorized the Regional Director to conduct it and to provide for an appropriate hearing upon due notice. 18 N. L. R. B., No. 83. 708 GENERAL METALS CORPORATION 709 On October 25, 1939, the Regional Director issued a notice of hear- ing and on November 2, 1939, an amended notice of hearing, copies of which were duly served upon the Company and upon the Union.' Pursuant to the amended notice a hearing was held on November 20, 1939, at Los Angeles, California, before Mapes Davidson, the Trial Examiner duly designated by the Board. The Board and the Com- pany, represented by -counsel, and the Union by its representative, participated in the hearing. Full opportunity to be heard, to ex- amine and to cross-examine witnesses, and to introduce evidence bearing on the issues was afforded all parties. Upon the basis of the entire record in the case, the Board makes the following : FINDINGS OF FACT I. THE BUSINESS OF THE COMPANY General Metals Corporation, a California corporation,- is engaged in the business of forging and casting ferrous metals at three plants adjacently located in the city of Vernon, California. The raw materials used by the Company consist principally of steel, pig iron, scraps, alloys, stainless steel, and die blocks. In 1937 the Company purchased 8,165.95 tons of raw materials, at a cost of $543,991.58, of which approximately 73 per cent were shipped to it from points outside the State of California. In 1938 the Company purchased 5,180.33 tons of raw materials, at a cost of $321,541.91, of which approximately 74 per cent were shipped to it from points out- side the State of California. The parties stipulated that the Com- pany had made similar purchases of raw materials in 1939. The total sales of the Company in 1937 amounted to $1,303,645.79. The parties stipulated that the, Company's sales in 1938 and 1939 were substantially the same. While only $2,265.38 of the Company's 1937 sales represented direct shipments by the Company to customers lo- cated outside the State of California,2 the record establishes that a substantial amount of the products sold by the Company to firms located in California were reshipped by these firms to points outside the State of California. At the hearing the Board introduced in evidence letters received from certain of the Company's California customers, setting forth the purchases made by them from the Com- 1 Copies of the notice of hearing were also served upon the Central Labor Council (of Los Angeles ) and upon Los Angeles Industrial Union Council . ( Vernon, California , is located in Los Angeles County and is a branch of the Los Angeles post office .) Neither of these organizations appeared at the hearing and there is no showing in the record that any or- ganization other than the Union purports to represent any of the Company's employees. 2 The record does not show the amount of such sales during 1938 and 1939. 710 DECISIONS OF NATIONAL LABOR RELATIONS BOARD pany and the extent to which such purchases were reshipped by them to destinations outside the State of California." An analysis of one group of such sales, made by the Company during 1937 and amount- ing to $120,214.14, shows that the purchasers, in turn, reshipped ap- proximately 31 per cent thereof to points outside the State of Cali- fornia. As appears from the letters of another group of customers, a "substantial" portion of $140,565.23 of the Company's 1937 sales were reshipped by such purchasers to points outside the State of Cali- fornia. Other letters, covering sales amounting to $47,493.74 made by the Company to such customers during the period from January 1, 1937, through May 1938, reveal that 74 per cent thereof were re- shipped to States other than California. In addition, during this same 17-month period, the Harvey Machine Company purchased from the Company 4,055 pounds of castings and 8,995 pounds of forgings, all of which it reshipped to destinations outside the State of California; the Douglas Aircraft Company reshipped 90 per cent of the products purchased from the Company to States other than California; the Security Engineering Company, Inc., purchased 174,339 pounds of products from the Company and reshipped 28 per cent thereof to customers located in States other than California; and the In-A-Floor Safe Company purchased 409 outer doors and 871 inner doors, of which it shipped 46 per cent and 211/2 per cent, respectively, to points outside the State of California. H. THE ORGANIZATION INVOLVED Amalgamated Association of Iron, Steel and Tin Workers of North America, Lodge No. 2018, is a labor organization affiliated through the Steel Workers Organizing Committee with the Congress of In- dustrial Organizations. It admits to membership employees of the Company. III. THE QUESTION CONCERNING REPRESENTATION The Company has refused to meet with representatives of the Union, assigning as the reasons for its refusal, lack of jurisdiction of the Board over its operations and its belief that the Union does not represent a majority of the employees within the appropriate unit. We find that a question has arisen concerning representation of the employees of the Company. 3 The parties stipulated that these letters would have the force and effect of oral testimony. GENERAL METALS CORPORATION 711 IV. THE EFFECT OF THE QUESTION CONCERNING REPRESENTATION UPON COMMERCE We find that the question concerning representation which has arisen, occurring in connection with the operations of the Company described in Section I above, has a close, intimate, and substantial relation to trade, traffic, and commerce among the several States, and tends to lead to labor disputes burdening and obstructing commerce and the free flow of commerce. V. THE APPROPRIATE UNIT The Company and the Union are agreed, and we find, that all pro- duction and maintenance employees of the Company, including ham- mer men, heaters, die sinkers, machinists, blacksmiths, blacksmith helpers, press operators, press helpers, molders, molder helpers, core makers, and laborers, but excluding supervisory employees having the power to hire and discharge and clerical employees, constitute a unit appropriate for the purposes of collective bargaining and that said unit will insure to employees of the Company the full benefit of their right to self-organization and to collective bargaining and otherwise effectuate the policies of the Act. VI. THE DETERMINATION OF REPRESENTATIVES John Despol, representative for the Steel Workers Organizing Committee, testified that more than 70 per cent of the Company's em- ployees had signed petitions designating the Union as their collective bargaining agent, but offered no documentary proof and stated that the Union desired an election. Under the circumstances we shall direct that an election by secret ballot be held. Since there is no showing that the present operations of the Com- pany are in any way abnormal, we shall direct that employees of the Company within the appropriate unit who were employed by the Company during the pay-roll period immediately preceding the Di- rection of Election, hereinafter set forth, including employees who did not work during such pay-roll period because they were ill or on vacation and employees who were then or have since been temporarily laid off, but excluding employees who have since quit or been dis- charged for cause, shall be eligible to vote to determine whether or not they wish to be represented by the Union. Upon the basis of the above findings of fact and upon the entire record in the case, the Board makes the following : CONCLUSIONS OF LAW 1. A question affecting commerce has arisen concerning the rep- resentation of employees of General Metals Corporation, Vernon, 283029-41-vol. 18-46 712 DECISIONS OF NATIONAL LABOR RELATIONS BOARD California, within the meaning of Section 9 (c) and Section 2 (6) and (7) of the National Labor Relations Act. 2. All production and maintenance employees of the Company, including hammer men, heaters, die sinkers, machinists, blacksmiths, blacksmith helpers, press operators, press helpers, molders, molder helpers, core makers, and laborers, but excluding clerical and super- visory employees having the power to hire and discharge, constitute a unit appropriate for the purposes of collective bargaining within the meaning of Section 9 (b) of the National Labor Relations Act. DIRECTION OF ELECTION By virtue of and pursuant to the power vested in the National Labor Relations Board by Section 9 (c) of the National Labor Re- lations Act, 49 Stat. 449, and pursuant to Article III, Section 8, of National Labor Relations Board Rules and Regulations-Series 2, it is hereby DIRECTED that, as part of the investigation authorized by the Board to ascertain representatives for the purposes of collective bargaining, an election by secret ballot shall be conducted as early as possible, but not later than thirty (30) days from the date of this Direction of Election, under the direction and supervision of the Regional Di- rector for the Twenty-first Region, acting in this matter as agent for the National Labor Relations Board and subject to Article III, Section 9, of said Rules and Regulations, among the production and maintenance employees, including hammer men, heaters, die, sinkers, machinists, blacksmiths, blacksmith helpers, press operators, press, helpers, molders, molder helpers, core makers, and laborers, but ex- cluding supervisory employees who have the power to hire and dis- charge and clerical employees, employed by General Metals Corpo- ration, Vernon, California, during the pay-roll period immediately preceding the date of this Direction of Election, including employees who did not work during such pay-roll period because they were ill or on vacation and employees who were then or have since been temporarily laid off, but excluding employees who have since quit or been discharged for cause, to determine whether or not they desire to be represented by Amalgamated Association of Iron, Steel and Tin Workers of North America, Lodge No. 2018, through the Steel Workers Organizing Committee, affiliated with the Congress of In- dustrial Organizations, for the purposes of collective bargaining.