Standard Oil Co. of New Jersey

In the Matter of STANDARD OIL COMPANY OF NEW JERSEY and 'Esso TANKER MEN'S ASSOCIATION In the Matter of SOCONY VACUUM OIL COMPANY and SOCONY VACUUM TANKER MEN'S ASSOCIATION In the Matter of TIDE WATER ASSOCIATED OIL COMPANY and TIDE WATER SMALL FLEET ASSOCIATION In the Matter of TIDE WATER ASSOCIATED OIL COMPANY and TIDE WATER TANKER MEN'S ASSOCIATION Cases Nos. R-1632 to R-1635, inclusive, respectively. Decided May 16, 1940 Petroleum and Petroleum Products Transportation Industry-Investig ation'of Representatives: controversy concerning representation of employees : rival unions ; companies refuse to recognize respective unions until certified by the Board-Unit Appropriate for Collective Bargaining: stipulated: four separate units consisting of unlicensed personnel employed in the deck, engine, and steward's departments except wireless and radio operators on vessels of (1) Standard, (2) Socony, (3) Small Fleet of Tide Water, and (4) Large Fleet of Tide Water operating out of Atlantic and Gulf ports-Representatives: eligibility to participate in choice : employees temporarily laid off as a result of transfer , of ships to a different registry who have not been reinstated-Elections Ordered Mr. Albert Ornstein, for the Board. Mr. William A. Dougherty, of New York City, for Standard. Mr. Louis Mead Treadwell, by Mr. Richard H. Lowe, of New York City, for Socony. Kirlin, Campbell, Hickox, Keatinq & McGrann, by Mr. E. S. Murphy, of New York City, for Tide Water. Mr. William R. White, Jr., Mr. John M. Cannella, Mr. Robert J. Boyle, and Mr. John J. Collins, of New York City, for the petitioners, E. T. M. A., S. V. T. M. A., T. W. T. M. A., and T. W. S. F. A. Mr. William L. Standard, by Mr. Max Lustig, of New York City, for the N. M. U. Mr. C. C. Johnson, of New York City, for Seafarers International Union of North America. Mr. Frederick R. Levinstone, of counsel to the Board. 23 N. L. R. B., No. 91. 860 STANDARD OIL COMPANY OF NEW JERSEY DECISION AND DIRECTION OF ELECTIONS STATEMENT OF THE CASE 861 On June 1, 1939, Esso Tanker Men's Association, herein called E. T. M. A., filed with the Regional Director for the Second Region, (New York City) a petition alleging that a question affecting com- merce had arisen concerning the representation of employees of Standard Oil Company of New Jersey, herein called Standard, and requesting an investigation and certification of representatives pur- suant to Section 9 (c) of the National Labor Relations Act, 49 Stat. 449, herein called the Act. On August 7, 1939, Socony Vacuum Tanker Men's Association, herein called S. V. T. M. A., filed a similar petition with the Re- gional Director, alleging that a question affecting commerce had arisen concerning the representation of employees of Socony-Vacuum Oil, Company, Incorporated,' herein called Socony. On August 16, 1939, Tide Water Small Fleet Association, herein called T. W. S. F. A., filed a similar petition with the Regional Director, alleging that a question affecting commerce had arisen concerning the representation of employees aboard the small fleet of Tide Water Associated Oil Company (Tide Water Division) ,2 herein called Tide Water. On August 31, 1939, Tide Water Tanker Men's Association, herein called T. W. T. M. A., filed a similar petition with the Regional Director, alleging that a question affecting commerce had arisen concerning the representation of employees aboard the large fleet of Tide Water. On October 10, 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 National 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, and further ordered that for the purposes of hearing and for all other purposes the cases be consolidated and that one record of the hearing be made. On November 7, 1939, counsel for the National Maritime Union of America, herein called N. M. U., filed a petition, as Intervenor, for leave to move for a stay of proceedings. On November 8, 1939, the Board denied the petition. 1 Designated in the title as Socony Vacuum Oil Company. 2 Designated in the title as Tide Water Associated Oil Company 862 DECISIONS !OF NATIONAL LABOR RELATIONS-'BOARD Pursuant to notices duly served upon all the parties, a hearing was held on November 14 through 22, 1939, in New York City, before Henry W. Schmidt, the Trial Examiner duly designated by the Board. All parties 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 on the issues was afforded to all parties. During the course of the hearing the Trial Examiner made several rulings on motions. The Board has reviewed the rulings of the Trial Examiner and finds that no preju- dicial errors were committed. The rulings are hereby affirmed.. At the opening of the hearing Seafarers International Union appeared as Intervenor, but during the course of the hearing requested leave to withdraw from the proceedings. The Trial Examiner did not dis- pose of this motion but left the disposition thereof to the Board. The motion is hereby granted. On March 26i 1940, following due notice to all parties, oral argument was presented before the Board at Washington, D. C. Upon the entire record in the case, the Board makes the following : FINDINGS OF FACT 1. THE BUSINESS OF THE COMPANIES Standard Oil Company of New Jersey, a wholly owned subsidiary of the Standard Oil Co., is a Delaware corporation engaged in the refining and marketing of petroleum and petroleum products. It owns and operates refineries for the refining of crude petroleum at Bayonne, Linden, and Jersey City, New Jersey; Baltimore; Mary- land; and Charleston, South Carolina, in which it refines approxi- mately 144.297 barrels of crude petroleum per day. The greater portion of the production of these refineries is distributed to States other than those in which the refineries are located. The crude pe- troleum is transported to these refineries from other States and for- eign nations by ocean-going vessels. The Marine Department of Standard owns and operates 62 American-flag ocean-going tank ves- sels, exclusively engaged in the transportation of petroleum or its products. The majority of voyages made by these vessels are made' between United States ports in the Gulf of Mexico and the Atlantic Coast. At times some of these vessels transport cargo from Carib- bean Sea loading ports to a nearby island port and they also trade between the Caribbean Sea loading ports and ports in the United States and South America. Prior to the passage of the Neutrality Act of 1939, some of these vessels made occasional voyages from the United States Gulf or South American loading ports to European and Mediterranean ports. Occasionally some of these vessels are STANDARD OIL COMPANY OF NEW JERSEY ' ' 863 allocated to transport cargoes from California to United States East Coast ports. At least 90 per cent of the voyages made by these vessels are for the purpose of transporting cargo for accounts of the Standard Oil Company of New Jersey or its affiliated or as- sociated companies. Socony Vacuum Oil Company, Incorporated, a New York corpora- tion, is engaged, among other things, in the transportation of petro- leum and petroleum products. It owns and operates through its Marine transportation department 37 ocean-going tanker vessels in the Atlantic coastwise trade. During the period from January 1, 1939, to October 1, 1939, more than 90 per cent of the activities of the vessels in active operation involved the transportation of petro- leum products from ports in the Gulf of Mexico to points on the Atlantic Seaboard, north of Cape Hatteras. During the same period approximately three vessels were engaged in making one or more trips from United States ports to a foreign country. During this same period Socony transported not less than 35,000,000 barrels of crude petroleum and its products between ports in the United States and/or ports in the United States and foreign countries. Tide Water Associated Oil Company (Tide Water Division) is an operating division of Tide Water Associated Oil Company, a Delaware corporation, engaged, among other, things, in the transpor- tation of petroleum and petroleum products. Tide Water owns and operates two fleets, one a fleet of 11 ocean-going tank vessels in the Atlantic coastwise trade, and the second a fleet of five small tank vessels employed in inland waterways harbors and short sea voyages in interstate commerce on the Atlantic Coast. During the period from January. 1, 1939, to October 1, 1939, not less than 90 per cent of the activities of the Tide Water ocean-going tank vessels in active operation involved the transportation of petro- leum products from United States ports in the Gulf of Mexico to ports on the Atlantic Seaboard, north of Cape Hatteras. During this same period, Tide Water transported not less than 20,500,000 barrels of crude petroleum and its products between Gulf and Atlantic ports of the United States. All three Companies stipulate that they are engaged in interstate commerce within the meaning of the Act, and Standard and Socony stipulate in addition that they are engaged in foreign commerce. All three Companies further stipulate that the unlicensed personnel em- ployed on their respective lines are directly engaged in such commerce. We find that each of the Companies is engaged in trade, traffic, transportation, and commerce among the several States and/or be- tween the United States and foreign countries, and that the unlicensed 864 DECISIONS OF NATIONAL LABOR RELATIONS BOARD personnel employed on their vessels , are directly engaged in such traffic, commerce, and transportation. II. THE ORGANIZATIONS INVOLVED Esso Tanker Men's Association is an unaffiliated labor organiza- tion, admitti ng, to membership unlicensed .personnel employed aboard the tanker vessels of Standard. Socony Vacuum Tanker Men's Association is an unaffiliated labor organization, admitting to membership unlicensed personnel aboard the vessels of Socony. Tide Water Small Fleet Association is an unaffiliated labor organi- zation, admitting to membership unlicensed personnel aboard the tanker vessels of the small fleet of Tide Water. Tide Water Tanker Men's Association is an unaffiliated labor organization, admitting to membership unlicensed personnel em- ployed aboard the vessels of the large fleet of Tide Water. National Maritime Union of America, affiliated with the C. 1. 0., is a labor organization admitting to membership unlicensed person- nel employed aboard the vessels-of all of the Companies with the exception of the small fleet of Tide Water. National Maritime Union of America, Inland Boatmen's Division, affiliated with the C. I. 0., is a labor organization admitting to mem- bership unlicensed personnel employed aboard the small fleet of Tide Water. III. THE QUESTION CONCERNING REPRESENTATION The N. M. U. was certified by the Board as the exclusive represent- ative for the purposes of collective bargaining for the unlicensed personnel employed aboard the vessels of Tide Water, Socony, and Standard on December 29, 1937, February 12, 1938, and March 30, 1938, respectively. Since the respective certification dates, E. T. M. A., S. V. T. M. A., T. W. S. F. A., and T. W. T. M. A. claim to represent a substantial majority of the employees in each of the respective appropriate units and each of the aforesaid organizations at the hearing introduced applications for membership in support of their respective claims. The Companies have refused to recognize any of the unions until it has been established in an election which of the unions represents a majority of the employees in the appro- priate unit or units. We find that a question has arisen concerning representation of employees of the respective Companies. We further find that this question, occurring in connection with the operations of the Com- panies described in Section I above, tends to lead to labor disputes burdening and obstructing commerce and the free flow of commerce. "I'' STANDARD OIL COMPANY OF'NEW JERSEY 865 IV. APPROPRIATE' UNIT At the hearing it was stipulated that there,should be four sepa- rate appropriate units consisting of the unlicensed personnel em- ployed in the deck, engine, and steward's departments, except wireless and radio operators on vessels^of (1) Standard, (2) Socony, (3) Small Fleet of Tide Water, and (4) Large Fleet of Tide Water, operated out of Atlantic and Gulf ports. We see no reason for departing from the agreed-upon units. We find that the unlicensed personnel employed in the deck, en- gine, and steward's departments except wireless and radio operators on the vessels of (1) Standard, (2) Socony, (3) Small Fleet of Tide Water, and (4) Large Fleet of Tide Water, operated ottt of Atlantic and Gulf ports, constitute units appropriate for the purposes of collective bargaining with the respective Companies and that each such unit will insure to the employees of the respective Companies the full benefit of their right to self-organization and to collective bargaining and otherwise effectuate the policies of the Act. V. THE DETERMINATION OF' REPRESENTATIVES At the hearing it was agreed that all employees within the ap- propriate units employed at the time that the respective ships were posted and still employed in the same capacity at the time of the election should be eligible to vote. No accord was reached as to the eligibility- of employees temporarily laid, off as a result of the trans-, fer of approximately 10 ships of Standard to Panamanian Registry. At the hearing counsel for Standard stated that Standard consid- ered employees laid off as a result of such transfers as being on a temporary leave-of-absence status for 90 or 180 days depending upon their service records. This temporary, leave-of-absence status 'has expired in numerous instances. At the oral argument counsel, for Standard stated that he had been advised that substantially all of the employees thus 'temporarily laid off had been reinstated, to ships flying the, American flag. No dissent from this statement was ex pressed by counsel for the petitioners or the intervenor, N. M, U. Since, Standard is conscientiously attempting to reinstate an, the employees temporarily laid off, it . seems clear that the persons so laid off are still deemed to be employees of Standard and that per- sons who have not as yet been reinstated should be eligible to vote as employees temporarily laid off. ' We;find that the question which has arisen concerning `representa- tion of employees of the -respective Companies can best be resolved by,means of an election by secret ballot. 866 DECISIONS OF NATIONAL LABOR RELATIONS BOARD 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. Questions affecting commerce have arisen concerning the repre- sentation of employees of Standard Oil Company of New Jersey, Socony-Vacuum Oil Company, Incorporated, and Tide Water As- sociated Oil Company (Tide Water Division), within the meaning of Section 9 (c) and Section 2 (6) and (7) of the National Labor Relations Act. 2. The unlicensed personnel employed in the deck, engine, and steward's departments, except wireless and radio operators on ves- sels of (1) Standard Oil Company of New Jersey, (2) Socony- Vacuum Oil Company, Incorporated, (3) Small Fleet Tide Water Associated Oil Company (Tide Water Division), and (4) Large Fleet Tide Water Associated Oil Company (Tide Water Division), operated out of Atlantic and Gulf ports, including employees tem- porarily' laid off, constitute separate units appropriate for the pur- poses of collective bargaining, within the meaning of Section 9 (b) of the National Labor Relations Act. DIRECTION OF ELECTIONS 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, as amended, it is hereby DIRECTED that, as part of the investigation authorized by the Board to ascertain representatives for the purposes of collective bargaining with Standard Oil Company of New Jersey, Socony- Vacuum Oil Company, Incorporated, and Tide Water Associated Oil Company (Tide Water Division), elections by secret ballot shall be conducted as soon as convenient and beginning as promptly as' is practicable after the date of this Direction under the direction and supervision of the Regional Director for the Second 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 unlicensed personnel employed in the deck, engine, and steward's departments, except wireless and radio operators on ves- sels of (1) Standard Oil Company of New Jersey, (2) Socony- Vacuum Oil Company, Incorporated, (3) Small Fleet Tide Water Associated Oil Company (Tide Water Division), and (4) Large Fleet Tide Water Associated Oil Company (Tide Water Division), STANDARD OIL COMPANY OF NEW JERSEY 867 who are employed by the respective Companies at the time the ships are posted and still employed in the same capacity at the time the respective elections are held, including employees temporarily laid off, and employees on leave of absence, and excluding those who have since quit or been discharged for cause to determine (1) whether the employees of Standard Oil Company of New Jersey desire to be represented by the Esso Tanker Men's Association or National Mari- time Union of America (C. I. O.)- or by neither; (2) whether the employees of Socony-Vacuum Oil Company, Incorporated, desire to be represented by the Socony Vacuum Tanker Men's Association or by National Maritime Union of America (C. I. 0.) or by neither; (3) whether the employees of the Small Fleet Tide Water Associ- ated Oil Company (Tide Water Division) desire to be represented by Tide Water Small Fleet Association or by National Maritime Union of America, Inland Boatmen's Division (C. I. 0.) or by neither; and (4) whether the employees of the Large Fleet Tide Water Associated Oil Company (Tide Water Division) desire to be represented by Tide Water Tanker Men's Association: or National Maritime Union of America (C. T. 0.) or by neither, for the pur- poses of collective bargaining. -