National Mineral Co.

In the Matter of NATIONAL MINERAL COMPANY and CHROME FURNI- TURE, HANDLERS AND MISCELLANEOUS CRAFTS UNION, LOCAL No. 658 OF THE UPHOLSTERERS' INTERNATIONAL UNION, AFFILIATED WITH' THE AMERICAN FEDERATION OF LABOR, SUCCESSORS TO BEAUTICIANS" SUP- PLIES AND COSMETIC WORKERS UNION, LOCAL 21107 (A. F. of L.) Case No. R-1855.Decided July 2, 1940 Jurisdiction : beauty parlor equipment and supplies manufacturing industry. Investigation and 'Certification of Representatives : existence of question : re- fusal to accord recognition to union ; strike for recognition; election neces- sary. - - A question concerning representation was held to have arisen with regard to a successor organization on the ground that the successor organization was the only labor organization in existence claiming to represent employees of the Company and since a substantial number of employees of the Com- pany who had previously designated the predecessor union as their repre- sentative, designated the successor union as their bargaining representative. Persons hired during the strike held eligible to participate in the election where upon the termination of the strike, the Company reinstated every striker who desired to return to work, retaining, however, as. permanent additions to the staff, persons hired during the strike, concerning which there was no shoivmg that such employees were retained for other than business reasons. Unit Appropriate for Collective Bargaining : all hourly paid production em- ployees of the Company at its Chicago plant, exclusive of office, maintenance, and sales employees, carpenters, firemen, engineers, foremen, and supervisors. Mr. Robert R. Rissman, for the Board. Mr. Adolph A. Rubinson, of Chicago, Ill., for the Company. Mr. Morris L. Marcus and Mr. Herman I. Weiss, of Chicago, Ill.. for the Union. Mr.- S. G. Lippman, of counsel to the Board. DECISION AND DIRECTION OF ELECTION STATEMENT OF THE CASE On April 29, 1940, Chrome Furniture, Handlers and Miscellaneous Crafts Union, Local No. 658 of Upholsterers' International' Union of North America, herein called the Uhiori, filed with,the Regional Direc- tor for the Thirteenth Region (Chicago, Illinois), an amended peti- 25N.L.R.B.,No.2. 3 4 DECISIONS OF NATIONAL LABOR RELATIONS BOARD tion 1 alleging that a question affecting commerce had arisen concerning the representation of employees of National Mineral Company, Chicago, Illinois, herein called the Company, and request- ing an investigation and certification of representatives, pursuant to Section 9 (c) of the National Labor Relations Act,' 49 Stat. 449, herein called the Act. On May 13 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, as amended, ordered an investigation and authorized the Regional Director to conduct it and to provide for an appropriate hearing upon due notice. On May 15 the Regional Director issued a notice of hearing, copies of which, together with copies of the petition, were duly served upon the Company and upon the Union. Pursuant to the notice a hearing was held on May 23 and 24 at Chicago, Illinois, before Earl S. Bell- man, the Trial Examiner duly designated by the Board. The Board, the Union, and the Company were represented by counsel and par- ticipated in' the hearing. 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 course of the hearing the Trial Examiner made various rulings on motions and objections to the admission of evidence. The Board has reviewed the rulings of the Trial Examiner and finds that no prejudical errors were com- mitted. The rulings are hereby affirmed. The Company submitted a brief which has been considered by the Board. - Upon the entire record of the case, the Board makes the following : FINDINGS OF FACT I. THE BUSINESS OF THE COMPANY National Mineral Company is an Illinois corporation having its principal office and plant at Chicago, Illinois. The Company is en- gaged in the designing, manufacture, sale, and distribution of chrome furniture, hair driers, permanent-wave machines, beauty-parlor equip- ment, cosmetics, and other supplies. It employs about 650 persons. From May 1, 1939; to and including April 30, 1940, the value of finished products manufactured by the Company was substantially in excess of $250,000. Approximately 85 per cent of these products ' The original petition was filed on March 19, 1940, by Beauticians' Supplies and Cosmetic Workers Union, Local 21107, herein called Local 21107, a Federal labor union affiliated with American Federation of Labor. As hereinafter set forth, the Union claims to be a suc- cessor labor organization to Local 21107. For reasons hereinafter appearing, we consider it unnecessary to determine whether the 'Union is such successor. NATIONAL MINERAL, COMPANY 5 were sold, by the Company and shipped from its plant in Chicago to purchasers and user's' outside Illinois. In that same period the Com- pany purchased raw materials consisting of steel tubing, plywood, leatherette, bottles, oil, chemicals, and other raw materials and sup- plies valued at substantially in excess of $125,000. Approximately 47 per cent of these raw materials and supplies were purchased by the Company and transported from outside of Illinois to its plant in Chicago. IL THE ORGANIZATIONS INVOLVED Chrome Furniture , Handlers, and Miscellaneous Crafts Union, Local No. 658 , is a local of Upholsterers' International Union of North America, affiliated with American Federation of Labor. It admits to membership hourly paid production employees of the Company, ex- cluding carpenters, foremen , and supervisory employees . Firemen, engineers , maintenance , office, and sales employees are likewise ineli- gible for membership in the Union. Beauticians' Supplies and Cosmetic Workers Union, Local 21107, herein called Local 21107, a Federal labor union affiliated with Ameri- can Federation of Labor, was, at the date of the filing of the petition herein, and prior thereto, a labor organization within the meaning of Section 2 (5) of the Act. It admitted to membership employees of the Company.- III. THE QUESTION CONCERNING REPRESENTATION Oft several occasions between November 30, 1939, and February 8, 1940, and thereafter, Local 21107, through its business agent, requested the Company to recognize it as the exclusive collective bargaining agency of the Company's employees in an allegedly ap- propriate collective bargaining unit, although it did not request col- lective bargaining as to terms or conditions of, employment. The Company at all times refused this request for reasons plainly without merit if this labor organization was the statutory representative. The Company maintained that a grant of recognition would constitute illegal encouragement of membership in Local 21107, and that in any event a grant of recognition in the absence of a request by the Union for negotiations as to, • working conditions was "highly metaphysical and not required by the Act." The Company also refused to con- sent to an election under Section 9 (c) of the Act on the,ground that this too would illegally encourage membership. On February 12, in protest against the refusal of the Company to grant it recognition 2 See footnotes 1, supra, and 3, infra. '283036-42-vol. 25-2 6 DECISIONS OF NATIONAL LABOR RELATIONS BOARD as the exclusive collective bargaining agency, Local 21107 called a strike at the Company's plant. On February 19, without having obtained recognition for Local 21107, the employees ended their strike and returned to work. Thereafter, on April 29 the Union, claiming to be the successor of Local 21107, filed the amended petition herein.3 The Company contended at the hearing that the Union's claim to successorship of Local 21107 and in consequence to representation of employees of the Company who were members of Local 21107 was unfounded, and offered to show, which offer the Trial Examiner rejected, that "no valid successorship was effected" between Local 21107 and the Union. However, the Company concedes, and we find, that the Union is the only labor organization in existence claiming to represent employees of the Company. In view of this fact and the facts surrounding the establishment of the Union as a local of the International,' we are convinced, and we find, that a substantial number of employees of the Company who had previously designated Local 21107 to act as their collective bargaining agency, as set forth below, in the unit hereinafter found to be appropriate, have desig- nated the Union as their bargaining agency. Hence, it is immaterial whether a "valid successorship" was effected. While the Union, subsequent to the filing of the petition, apparently did not request recognition of the Company, we think this fact likewise immaterial, for it is clear from the manner in which the Company treated Local 21107, as aforesaid, that any request by the Union for recognition would not have been granted. Under these circumstances, the Union is entitled to have its status as a statutory. bargaining agency clarified and to present that question concerning representation to the Board. We find that a question has arisen concerning representation of employees of the Company. 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, $ Prior to the amended petition and on March 16 Local 21107 , pursuant to action of its Executive Board, petitioned Upholsterers ' International Union of North America for affiliated as a local of that organization Thereafter, on March 25 , it received a"charter from the International Union as a local thereof, under the name of Chrome Furniture, Handlers , and Miscellaneous Craft Unions , Local No 658 of Upholsterers ' International Union of North America. The American Federation of Labor charter under which Local 21107 operated was then surrendered to the (American Federation of Labor. 4 See footnote 3, supra. NATIONAL MINERAL COMPANY 7 Y and tends to lead to labor disputes burdening and obstructing com- merce and the free flow of commerce. V. THE APPROPRIATE UNIT The Union contends that all hourly paid production employees of the Company at its Chicago plant, exclusive of office, maintenance, and sales employees, carpenters, firemen, engineers, foremen, and supervisors constitute a unit appropriate for collective bargaining. Only employees in this unit are eligible to membership in the Union. The Company does not dispute the appropriateness of this unit for collective bargaining. - We find that all the hourly paid production employees of the Company at its Chicago plant, exclusive of office, maintenance, and sales employees, carpenters, firemen, engineers, foremen, and super- visors, constitute a unit appropriate for the purposes of collective bargaining and that said unit will insure to employees of the Com- pany the full benefit of their right to self-organization and to col- lective bargaining and otherwise effectuate the policies of the Act. VI. TILE DETERMINATION OF REPRESENTATIVES The Union introduced into evidence -certain union application cards, 288 in number, signed by employees of the Company, and, save in a few instances, designating Local 21107 as collective bargain- ing representative. We already have foundthat a substantial num- ber of the employees who thus designated Local 21107, have desig- nated the Union as their bargaining representative. In any event the Union does not seek a certification upon the record but desires the direction of an election by ballot. We are of the opinion that the question which has arisen concerning representation can best be resolved by holding an election by secret ballot to determine their choice of bargaining representatives. Accordingly, we shall direct that an election be held among employees in the appropriate unit, subject to such limitations as are set forth in the Direction of Election. On February 10, the company pay-roll date preceding the strike, there were 484 employees in the unit we have found to be appropriate. From February 12 to 19, the period of the strike, the Company em- ployed an additional 65 employees in the appropriate unit. Upon ,the termination of the strike the Company reinstated every striker who desired to return to work, retaining, however, as permanent additions to the staff; the 65 persons hired' during the strike. , There is no show- ing that such employees were retained for other than .business reasons. 8 DECISIONS OF NATIONAL LABOR RELATIONS BOARD The Union requests that the employees hired during the strike should not be allowed to vote, and, therefore, that the pay roll of the Company immediately preceding the strike be used to determine eligibility to vote in the election. The Company opposes this request. We are of the opinion that-the employees hired during the strike are entitled to participate in the election. The strike has ended and they have be- come regular employees of the Company.5 On the basis of the above findings of fact and on the entire record of the case, the Board makes the following : CONCLUSIONS OF LAW 1. A question affecting commerce has arisen concerning the repre- sentation of employees of National Mineral Company, Chicago, Illi- nois, within the meaning of Section 9 (c) and Section 2 (6) and (7) of the National Labor Relations Act. 2. All the hourly paid production employees of the Company at its Chicago plant, exclusive of office, maintenance, and sales employees, carpenters, firemen, engineers, foremen, and supervisors 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 Relations Act, and pursuant to Article III, Section 8, of National Labor Rela- tions Board Rules and Regulations-Series 2, as amended, it is hereby DIRECTED that, as part of the investigation ordered by the Board to ascertain representatives for the purpose of collective bargaining with National Mineral Company, Chicago, Illinois, 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 under 'the direction and supervision of'the Regional Director for the Thirteenth 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 all the hourly paid production employees of the Company at its Chi- cago plant who were employed during the pay-roll period immediately preceding the date of this Direction, including employees who did not work during such pay-roll period because they were ill or on vaca- tion and those who were then or have since been teiiiporarily laid off, S See Matter of American Oil , Company and Oil Workers' International Union, 7 N. L. R.B. 210 Cf Matter of d. Sartorius_Co, Inc and United Mine Workers of America, District -50, Local 1290, 10 N. L R B. 493. _ NATIONAL MINERAL COMPANY 9 but excluding office, maintenance, and. sales employees, carpenters, firemen, engineers, foremen, and supervisors, and further excluding those who have since quit or been discharged for cause, to determine whether or not they desire to be represented by Chrome Furniture, Handlers and Miscellaneous Crafts Union, Local No. 658 of Up- holsterers' International Union, affiliated with American Federation of Labor, for the purpose of collective bargaining. MR. WILLIAM M. LEISERSON took no part in the consideration of the above Decision and Direction of Election.