United Stove Co.

In the Matter of UNITED STOVE COMPANY and INTERNATIONAL UNION UNITED AUTOMOBILE WORKERS OF AMERICA, AFFILIATED WITH THE 'CONGRESS OF INDUSTRIAL ORGANIZATIONS Case No. R-364.-Decided March 14, 1941 Jurisdiction : kerosene oil stove and heater, manufacturing industry. Investigation and Certification of Representatives : existence of question: Coin- pangrefuses to accord the union recognition ; pay-roll date preceding 'strike directed to be used ; where labor organization expressed no desire to par- ticipate in the election permission granted to withdraw its name from the .'ballot if it so desires ; election necessary: , ,Outstanding closed-shop -contract no bar to proceeding, where, in the absence of a contest between rival organizations, substantially all members of contracting union abandon the union, surrender its charter,' and transfer their affiliation to petitioning union. Unit Appropriate for Collective Bargaining : production and maintenance em- ployees; including watchmen, line Supervisors,, and inspectors, but excluding supervisory,and office employees ; agreement as to. Mr: Earl R. Cross, for the Board. `' Burke' c' Burke, by Mr. Louis E. Beirke,,a'hd Mr. Rowan Fasquelle, of Ann'Arbor, Mich., for the Company. Mr.' Maurice Sugar, by Mr. 'Ernest' Goodman,, of Detroit, Mich., for` the' C: 1."O.-U. A. W. Mr. 'J. L. Busby, of Detroit, Mich.,' and Mr:' Joseph A. Padway, by Mr.'James Glenn, -of' Washington, D.' C.; for the A. F. L.-U. A. W. Mr.` Gilbert V.' Rosenberg, of counsel'to the Board. DECISION AND DIRECTION OF ELECTION STATEMENT OF THE CASE On January 27, 1941, International Union, United Automobile Workers of America, Affiliated with the Congress of Industrial Or- ganizations, herein called the C. I. O.-U. A. W., filed with the Re- gional Director for the Seventh Region (Detroit, Michigan) a petition alleging that a question affecting commerce.had arisen con- cerning the - representation of employees of United Stove Company, Ypsilanti, Michigan, herein called, the Company, and requesting an investigation, and, certification, of representatives pursuant to Section 30 N. L. R. B., No. 49., - . - 305 306 DECISIONS OF NATIONAL LABOR RELATIONS BOARD 9 (c) of the National Labor Relations Act, 49 Stat. 449, herein called the Act. On February 17, 1941, the National Labor Relations Board, herein called the Board , acting pursuant to Section 9 (c) and Article III, Section 3, of National Labor Relations Board Rules and Regu- lations-Series 2, as amended , ordered an investigation and author- ized the Regional Director to conduct it and to provide for an, ap- propriate hearing upon due notice. On February 19; 1941, the Regional Director' issued a notice of hearing, copies of which were duly served upon the Company, the C. I. O.-U. A. W., and International Union, United Automobile' Workers of America, affiliated with the American Federation of Labor, herein called the A. F. L.-U. A. W., a labor organization claiming to represent employees directly affected by, the investigation. Pursuant to the notice , a hearing was held on February " 27, 1941, at Ypsilanti , Michigan, before R. N. Denham, the Trial Examiner duly designated by the Chief Trial Examiner. The Company, the C. I. O.-U. A. W. and the A. F. L.-U. A. W. 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 . At-the opening of the hearing the Company filed an answer and a motion to dismiss the proceeding , on the ground that there is no question affecting commerce concerning , the representation of its employees., The. Trial Examiner reserved decision on this motion for the Board. For reasons hereinafter appearing , the motion is hereby denied. Dur- ing the course of the hearing the Trial • Examiner ruled on several 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. At the request of the C. I.' O:-U.• A. W. and pursuant to notice, a hearing was held before the Board in Washington, 'D. C., on March 8, 1941, for the purpose of oral argument . The Company, the C. I. 0, U. A. W., and the A: F. L.-U. A. W. were represented by counsel and participated in the argument. Upon the entire record, the Board makes the following: FINDINGS OF FACT I. THE BUSINESS OF THE COMPANY United Stove Company is engaged in the manufacture and sale of'kerosene oil stoves 'and heaters in a plant at Ypsilanti ,'Michigan.' During 1940 the Company purchased raw materials , consisting prin-' cipally of sheet 'steel, valued' at approximately $1,600,000, of which between 90 and 95 ' per Bent w' obtained from--points outside" the' State of Michigan . During the same period ' the' Company sold finished' products valued at approximately $3,000,000, of which be- UNITED STOVE. COMPANY a@7: tween''•85•-and 90 per cent. was, shipped to, destinations outside the State of Michigan. The Company admits; that it is engaged in com-. merce w'ith'in the meaning of the Act. II., THE ORGANIZATIONS INVOLVED ".International Union, United Automobile Workers, of America,"' affilfated"' with. the Congress. of Industrial Organizations, and Inter- national' Union, United Automobile Workers of America affiliated with the. American: Federation of Labor, are labor organizations, Through their respective locals;-769' and 630, they, admit to member- ship employees; of the, Company'. III. THE QUESTION CONCERNING REPRESENTATION - Shortly after,- January 8, 1941, local 769 of the C. I. O.-U. A. W. requested the Company to recognize it as. the exclusive bargaining" representative of the Company's. employees. The, Company refused to recognize Local- 760 for the asserted reason that the Company is in contractual rel'ationship} with Local 630• of the A. F. L:-U. A. W. The- Company' and' the.. A. F. L:-U.. A. W.. contend that- a contract between 'them dated' June' 27, 1940, is a bar to this proceeding., On April 10, 1940, pursuant to a consent election agreement, be- tween the Company and., Local 630 of the A. F. L.-U. A. W., the Board "held a consent election among the. employees of the Company - to determine whether or' not, they° desired to, be represented. by Local 630. 'Of 437' valid- votes; cast in' this election, 300 were; for Local 630.. Orr June 27," 1940;, the, Company and "International 'Union, Uriiited Automobile Workers of America, Local 630"' entered into an, exclusive bargaining" contract covering all employees of the Company except foremen, assistant, foremen,, and certain named supervisory employees and watchmen. The contract deals with wages,.hours, and other. conditions, of employment. By its. terms it continues, in+ force until, June 27, 1941, andi from year to- year thereafter unless' one party shall, not less than 30 days prior to the annual terminal date;, serve notice. of -termination, or. modification upon the. other. It is signed by a representative of the Company an& by, officers of Local' 630 and representatives of the International Union (A. F. L.-U. A. W.) On'January 6', 1941, the executive boardd'of Local 630, A. F. L.- U A. W., discussed the question of changing affiliation to C. I. O.- U. A. - W., an'd appointed a committee to submit to the membership of Local! 630 appropriate resolutions' effecting- this, change. On Janu- ary. 7, 1941, at the request of this committee, the C. I. O.-TJ. A. W. .issued a charter to Local 769. On January, 8, 1941, at an open meeting' attended' by approximately 450 employees of the Company, including many non-members, Local 630; A. F. L.-U. A. W.,.by unanimous vote assigned all' its interest in 440135=42-Vol. 30-21 30A_- DECISIONS OF NATIONAL LABOR RELATIONS BOARD . the.4bove contract and all, its assets to Local 769, -C.; I. O:-U., A-.; W', At the same meeting the membership of Local 630, A. F: L.-U. A., W,; • disbanded the local and directed that its charter,,be returned to the_ - A. F. L.-U. A. W. Immediately upon the'adjournmelit of that meeting, the employees in-attendance convened at a'meeting of Local 769, C: I. O.-U. A. -W., and elected substantially all the officers of Local 630, A.F. L.-U. A. W.-,, as officers of Local 769, C. I. O.-U. A. W. - At this meeting Local_ 769 formally accepted the assignment of the contract and thereafter • notified the Company of the assignment. - ' On or about January 8, 1941, substantially 'all members, of Local„ 630, A. F. L.-U. A. W., numbering 301, signed petitions ratifying the dissolution of Local 630 and expressing their desire to join Local 769; C. I.! O.-U. A. W. All but one of the former members o£ Local _ 630 are now members of Local 769. - - -1 r `After the Company' had refused, as stated above, to' recognize r. Local 769, C. I. O.-U. A. W., as the exclusive bargaining represent- ative of • the Company's 'employees, Local 769 • called a strike at- the Company's plant which began on February 13, 1941, and is still in progress. The plant has been shut down since the beginning of. the strike. The Board notes that this case does not involve a contest between . rival 1Rbor organizations competing for majority representation dur- ing the existence of a valid outstanding exclusive bargaining contract, but that substantially the entire membership of Local 630, A. F. L.- U. A. W., acting upon their own initiative, disbanded the local; sur- rendered its charter, and transferred their affiliation'to the C. I.! O:- U. A: W.1 Under all the circumstances of this case, we find that the contract does not constitute a bar to this proceeding. , There was introduced in evidence a report prepared by the Regional Director showing that the C. I. O.-U. A. W. represents' a substan- tial number of employees in the unit alleged' in its- petition to be appropriate.2 We find that a question has arisen concerning the representation, of employees of the Company. IV. THE EFFECT OF TIIE QUESTION CONCERNING REPRESENTATION. UPON COMMERCE We find that the question concerning representation which has arisen, occurring in connection with the operations of the Company,. 1 See Matter of Sound Tiinber Company and International Woodworkers of America, Locals 67 and 75, 8 N. L. R. B. 844. 'The Regional Director reported that the C. I O.-U. A. W. submitted 505 application cards, of which 454 are signed bby persons whose names appear on the Company's January, , 14, 1941, pay roll. There are approximately 550 employees in the unit 'hereinafter found= to be appropriate, The A. F. L -U A. W. made no showing of membership, relying on its!- contention, mentioned above, that its contract is a bar to this'proceeding. UNITED STOVE -COMPANY 309 described'in -Section I above,'has- a close, intimate; and' substantial relation to trade, traffic, and commerce among the several States' arid) tends=to lead to labor disputes'burdening 'and `oh'structing commerce and the free flow of-commerce. 'The CA-0-U. A. W. alleges in its petition that all production and maintenance employees ' of the Company, including watchmen, line supervisors; and inspectors, but excluding supervisory 'and office employees, constitute an appropriate unit. The Company agreed to, this proposed unit and the A. F. L.-U. A. W. offered ' no objections to it. - We find ' that all production and maintenance employees of the Company, including watchmen,, line supervisors, and inspectors, but excluding supervisory and. office employees , constitute a unit' appro-^ priate for the purposes of collective bargaining, and that such unit will insure to the 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 of employees of the -Company can best be resolved by-an election by secret ballot. The C. I. 0.,-U. A.. W. urges that the pay roll preceding January 8, 1941, be used to determine eligibility . The Company and the A. F.- L. U. A.. W. made no contention concerning eligibility. ^ It appears- that between January 8 and, February 13,.1941, . the date on which the strike began , the Company hired . between 10 and 15 new men, as -temporary employees . No evidence was introduced concerning. their duties or the estimated duration of their employment . 'Under the -circumstances of this ' case we believe that the pay , roll -for the period last preceding February 13, 1941 , the date on which the, strike -began, - should be used to determine eligibility ,, but that tem porary- employees hired by the Company , between January 8 and February 13, 1941 , should be excluded from participation in the election. - We shall direct that an election by secret ballot be held among all employees within the appropriate unit who, were employed, during the pay-roll period last preceding February - 13, 1941, exclud- ing temporary employees. hired -between January , 8 ,and February 13,-1941 , and.with the additional inclusions and exclusions set forth in, our, Direction.. ,' Inasmuch- as the A. F. Li-U. A.- W. expressed no desire , to participate -in .an , election, we , shall grant permission, to the A. F. L.-U.• •A. W. 'to have ' its. name ,removed from the ballot,if it so desires,- and,-if- it notifies the Regional Director for, the Seventh, . .- ^. .. _ .. _ ^- 3'10, DECISIONS OF NATIONAL, LABOR RELATIONS BOARD Region to, that effect in writing within ten '(10) days, from the date. of this Direction of Election. 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 United Stove Company, Ypsilanti, Michi- gan,, 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 watchmen, line supervisors, and inspectors, but excluding supervisory and office employees 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 Rela- tions 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 bargain- ing with United Stove Company, Ypsilanti, Michigan, 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 Seventh Region, acting in this' matter as agent for the National Labor' Rela- tions Board, and subject to Article III, Section 9 of said Rules and Regulations, among all production and maintenance employees, who worked for the Company during the. pay-roll period last preceding February 13, 1941, including watchmen, line supervisors, and in- spectors, employees who did- not work during- such-pay-roll.' period because they, were ill or on vacation, or absent because called for military service, and employees who were then or, have, since been temporarily laid off, but excluding supervisory and office, employees, temporary employees hired by the Company between January 8' and February 13', 1941, and' employees who have, since February' 13, 1941, quit or been discharged for cause, to- determine whether' they desire to be represented by International Union, United Automobile Work- ers of America, affiliated with the G. 1. 0., or by International' Union, United Automobile Workers of America, affiliated with the A. F. of L., for the purposes of collective bargaining, or by, neither. - UNITED; STOVE COMPANY [SXME TITLE AMENDMENT TO DECISION AND :DIRECTION OF _.• ELECTION 311 March 17, 1941 On March 14, 1941, the National Labor Relations Board, herein called the Board, issued a Decision and Direction of Election in the above-entitled proceeding. In Section VI of said Decision and Direction of Election the following sentence appears : Inasmuch as the A. F. L.-U. A. W. expressed no desire to par- ticipate in an election, we shall grant permission to the A. F. L.- U. A. W. to have its name removed from the ballot if it so desires, and if it notifies the Regional Director for the Seventh, Region to that effect in writing within ten (10) days from the date of this Direction of Election. The Board hereby amends its said Decision and Direction of Elec- tion by striking from the quoted passage the expression "ten (10)," and substituting therefor the expression "five (5)." CHAIRMAN HARRY S. MILLIS took no part in the consideration of the above Amendment to Decision and Direction of Election. 30 N. L. R. B., No. 49a. [ SAME TITLE] SECOND AMENDMENT TO DECISION AND DIRECTION OF ELECTION March 00, 1941 On March 14, 1941, the National Labor Relations Board, herein called the Board, issued a Decision and Direction of Election and on March 14, 1941, an Amendment to Decision and Direction of Elec- tion, in the above-entitled proceeding. Pursuant to permission granted by the Board, International Union, United Automobile Workers, affiliated with the American Federation of Labor, on March 19, 1941, requested that its name be removed from the ballot to be used in the election. Accordingly, the Board hereby further amends the Direction of Election issued on March 14, 1941, by strik- ing therefrom the words "to determine` whether they desire .toto, be represented by International Union, United Automobile Workers of America, affiliated -with the C. I. 0., or by International Union, United Automobile Workers, affiliated with the A. F. of L., for the 312 DECISIONS OF,NATIONAL LABOR ', RELATIONS BOARD purposes of collective bargaining, or by neither," and substituting therefor the words "to determine whether or not they desire to be represented by International. Union, United Automobile, Workers of America, affiliated with the C. I..O., for the purposes of collective bargaining." 30 N. L. B. B., 49b.