Crescent Bed Co., Inc.

In the Matter of CRESCENT BED COMPANY, INC. and UNITED FURNI- TURE WORKERS OF AMERICA, AFFILIATED WITH CONGRESS OF INDUS- TRIAL ORGANIZATIONS Case No. R-2215.-Decided January 16, 1941 Jurisdiction : bed manufacturing industry. Investigation and Certification of Representatives : existence of question: re- fusal to accord recognition to union ; election necessary. A contract covering only the colored employees of the Company is not a bar to a present determination of representatives, inasmuch as the Act does not permit the establishment of a bargaining unit based solely on distinctions of color. Unit Appropriate for Collective Bargaining : all employees excluding execu- tives, foremen, clerical and office employees, and salesmen. Curtis, Hall cC Foster, by Mr. Luther E. Hall, of New Orleans, La., for the Company. Mr. F. C. Pieper and Mr. John Bouche, of New Orleans, La., for the United. Mr. Robert B. Delahoussaye, of New Orleans, La., for the Inde- pendent. Mr. Louis Cokin, of counsel to the Board. DECISION AND DIRECTION OF ELECTION STATEMENT OF THE CASE On November 7, 1940, United Furniture Workers of America, affiliated with the Congress of Industrial Organizations, herein called the United, filed with the Regional Director for the Fifteenth Region (New Orleans, Louisiana) a petition alleging that a question affect- ing,commerce had arisen concerning the representation of employees of Crescent Bed Company, Inc., New Orleans, Louisiana, herein called the Company, and requesting 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 December 5, 1940, 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 Regula- 29 N L. R. B , No. 6. 34 CRESCENT BED COMPANY, INC. 35 tions-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 December 9, 1940, the Regional Director issued a notice of hearing, copies of which were duly served upon the Company, the United, and Independent Furniture Workers Union, herein called the Independent, a labor organization claiming to represent em- ployees directly affected by the investigation. Pursuant to notice, a hearing was held on December 16, 1940, at New Orleans, Louisiana, before Charles A. Kyle, the Trial Examiner duly designated by the Board. The Company was represented by counsel, the United and the Independent by their representatives; all participated in the hearing. Full opportunity to 'be heard, to examine .and cross-ex- amine witnesses, and to introduce evidence bearing on the issues was afforded all parties. At the close of the hearing, the Trial Examiner granted a motion by the United to conform the pleadings to the proof. 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 all the rulings of the Trial Examiner and finds that no prejudicial errors were committed. The rulings are hereby affirmed. Upon the entire record in the case, the Board makes the following : FINDINGS OF FACT 1. THE BUSINESS OF THE COMPANY Crescent Bed Company, Inc., is engaged in the business of manu- facturing beds, cots, springs, and cribs, at New Orleans, Louisiana. During 1940 the Company purchased raw materials valued at about $320,000, approximately 85 per cent of which were shipped to it from points outside the State of Louisiana. During the same period, the Company sold finished products valued at about $700,000, ap- proximately 50 per cent of which were shipped by it to points outside the State of Louisiana. H. THE ORGANIZATIONS INVOLVED United Furniture Workers of America is a labor organization affiliated with the Congress of Industrial Organizations. It admits to membership all employees of the Company, excluding executives, foremen, clerical and office workers, and salesmen. Independent Furniture Workers Union is an unaffiliated labor organization admitting to membership the same classes of employees of the Company as the United. 413002-42-vol. 29--4 '36 DECISIONSI OF NATIONAL LABOR RELATIONS BOARD III. THE QUESTION CONCERNING REPRESENTATION The Company has refused to grant exclusive recognition to the United because of the existence of a contract between it and the Independent. On May 2, 1938, the Company and the Independent entered into a contract covering all the colored employees of the Company. The contract was to run for a period of 1 year and pro- vides for automatic renewal thereafter from year to year unless either party thereto gives notice to the other within 30 days of the expiration of any year period of a desire to terminate it. No such notice has been given. Since the contract is not an exclusive bar- gaining contract and since it covers only the colored employees of the Company,, and the Act does not permit the establishment of a bargaining unit based solely on distinctions of color, we find that the contract between the Independent and the Company is no bar to a determination of representatives at this time.,' .A statement of the Regional Director, introduced in evidence, shows that the United represents a substantial number of employees in the alleged appropriate unit.' We find that a question has arisen concerning the 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 and tends to lead to labor disputes burdening and obstructing com- merce and the free flow of commerce. , V. THE APPROPRIATE UNIT The Company, the United, and the Independent agreed at the hearing that all employees of the Company, excluding executives, foremen, clerical and office workers, and salesmen, constitute an appropriate bargaining unit. We see no reason for departing from the desires of the parties. 1 See Matter of Northrop Corporation and United Automobile Workers, Local No 229, 3 N L. R. B. 228 Cf Matter of American Tobacco Company, Incorporated, Richmond Smoking Branch and Committee for Industrial Organization, Local No. 472, 9 N. L. R. B 579 2 The Regional Director's statement shows that 98 employees who appear on the Com- pany 's pay roll of December 11 , 1940 , have signed authorization cards in the United. There are approximately 150'employees on this pay roll Under the terms of the agree- ment between the Independent and the Company , the Company is obligated to employ at least 65 per cent colored laborers of whom 80 per cent must be members of the Independent.' CRESCENT BED COMPANY, INC. 37 We find that all employees of the Company, excluding executives, foremen, clerical and office employees , and salesmen, constitute a unit appropriate for the purposes of collective bargaining and that such 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 We find that the question concerning representation which has arisen can best be resolved by an election by secret ballot. The United urged that a pay roll during the early part of November 1940 be used as a basis for determining eligibility to vote in the event the Board directed an election and stated in support of its request that employees had been laid off by the Company since that time. A representative of the Company testified that the Company employed approximately the same number of employees at the time of the hearing as it did in the early part of November . No reason, appears why the pay roll for the period immediately preceding this Direc- tion of Election should not be used , inasmuch as the actual Direction includes as persons eligible to vote in the election employees who were then or have since been temporarily laid off. We shall direct that the employees of the Company eligible to vote in the election shall be those in the appropriate unit who were employed during the pay-roll period immediately preceding the date of the Direction of Election herein, 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 those who have since quit or been discharged for cause. 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 repre- sentation of employees of the Crescent Bed Company, Inc., New Orleans, Louisiana , within the meaning of Section 9 (c) and Section 2 (6) and (7) of the Act. , 2. All employees of the Company, excluding executives , foremen, clerical and office workers , and salesmen, constitute a unit ' appro- priate for the _purposes of'collective bargaining , within the meaning of 'Section 9 (b) of the Act. 38 DECISIONS OF NATIONAL LABOR RELATIONS BOARD 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 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 Crescent Bed Company, Inc., New Orleans, Louisi- ana, 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 Fifteenth 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 employees of the Company who were employed during the pay-roll period imme- diately preceding the date of this Direction, 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 executives, foremen, clerical and office workers, salesmen, and employees who have since quit or been discharged for cause, to determine whether they desire to be represented by United Furniture Workers of America, affiliated with the Congress of Industrial Organizations, or by Independent Furniture Workers Union, for the purposes of collective bargaining, or by neither. CHAIRMAN HARRY A. MILLIS took no part in the consideration of the above Decision and Direction of Election. [SAME TITLE] CERTIFICATION OF REPRESENTATIVES February 07, 1941 On January 16, 1941, the National Labor Relations Board, herein called' the Board, issued a Decision and Direction of Election in the above-entitled proceeding. Pursuant to the Direction of Election, an election by secret ballot was conducted on January 27, 1941, under the direction and supervision of the Regional Director for the Fifteenth Region (New Orleans, Louisiana). On January 29, 1941, the Regional Director, acting pursuant to Article III, Section 9, of National Labor CRESCENT BED COMPANY, INC. 39 Relations Board Rules and Regulations-Series 2, as amended, issued and duly served upon the parties an Election Report on the ballot. No objections to the conduct of the ballot or the Election Report have been filed by any of the parties. As to the balloting and its results, the Regional Director reported as follows : ' Total on eligibility list__ ____________________________________ 152 Total ballots cast___________________________________________ 147 Total ballots challenged _____________________________________ 0 Total blank ballots__________________________________________ 1 Total void ballots___________________________________________ 0 Total valid votes cast_______________________________________ 146 Votes cast for United Furniture Workers of America, affiliated with Congress of Industrial Organizations___________________ 99 Votes cast for Independent Furniture Workers Union__________ 17 Votes cast for neither_______________________________________ ` 30 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, 49 Stat. 449, and pursuant to Article III, Sections 8 and 9, of National Labor Relations Board Rules and Regulations-Series 2, as amended, IT IS HEREBY orRIIFIED that the United Furniture Workers of Amer- ica, affiliated with the Congress of Industrial Organizations, has been designated and selected by a majority of all employees of Crescent Bed Company, Inc., New Orleans, Louisiana, excluding executives, foremen, clerical and office workers, and salesmen, as their representa- tive for the purposes of collective bargaining, and that, pursuant to Section 9 (a) of the Act, United "Furniture Workers of America, affiliated with the Congress of Industrial Organizations, is the exclu- sive representative of all such employees for the purposes of collective bargaining with respect to rates of pay, wages, hours of employment, and other conditions of employment. 29 N. L. R. B., No. 6a.