Hardy Metal Specialties, Inc.

In the Matter of HARDY METAL SPECIALTIES, INC., AND PLASTIC SPECIAL- TIES, INC. and LOCAL I224, UNITED ELECTRICAL, RADIO & MACHINE WORKERS OF AMERICA, C. I. O. Case No. R-2835.Decided August 19, 1941.1 Jurisdiction : ornament and novelty manufacturing industry. Investigation and Certification of Representatives : existence of question: con- flicting claims of rival representatives ; contract shortly to expire, no bar to ; election necessary. Unit Appropriate for Collective Bargaining : all production employees of both Companies, excluding clerical and supervisory employees ; agreement as to. Mr. Martin I. Rose, for the Board. Mr. Milton Leonard, of Brooklyn, N. Y., for the Companies. Mr. Frank Scheirer, by Miss Rose Roemer, of New York City, for the C. 1. 0. Mr. Elias Lieberman, of New York City, for the A. F. of L. Mrs. Augusta Spaulding, of counsel to the Board. DECISION AND DIRECTION OF ELECTION STATEMENT OF THE CASE On May 27, 1941, Local 1224, United Electrical, Radio & Machine Workers of America, C. I. 0., herein called the C. I. 0., filed with the Regional Director for the Second Region (New York City) a petition alleging that a question affecting commerce had arisen concerning the representation of employees of Hardy Metal Specialties, Inc., and Plastic- Specialties, -Inc., New York City, herein collectively called the Companies, 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 July 21, 1941, 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. 34 N. L. R. B., No. 71. 491 492 DECISIONS OF NATIONAL LABOR RELATIONS BOARD On July 28, 1941, the Regional Director issued a notice of hearing, copies of which were duly served upon the Companies, the C. I. 0., and Plastic Button & Novelty Workers Union, Local 132, International Ladies. Garment Workers Union, affiliated with the American Federa- tion of Labor, herein called the A. F. of L., a labor organization claim- ing to represent employees directly affected by the investigation. Pursuant to notice, a hearing was held on August 4,1941, at New York City, before Peter F. Ward, the Trial Examiner duly designated by the Chief Trial Examiner. 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 bear- ing upon the issues was afforded all parties. During the course of the hearing, the A. F. of L. moved that the Board dismiss the petition on the ground that no question had arisen concerning the representa- tion of employees of the Companies. The Trial Examiner reserved ruling on this motion for the Board. For reasons which appear in Section III below, the motion is denied. During the course of the hearing, the Trial Examiner made several rulings on other motions and on objections to the admission of evidence. The Board has re- viewed 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 COMPANIES Hardy Metal Specialties, Inc., is engaged in the manufacture, sale, and distribution of steel frames for ladies' handbags, catalin ornaments, and related products. Plastic Specialties, Inc., is en- gaged in the manufacture, sale, and distribution of buttons, novel- ties, and related products. They are both New York corporations and have their principal office and place of business at the same plant in New York City. The officers and directors of Hardy Metal Spe- cialties, Inc., serve as officers or directors of Plastic Specialties, Inc. Milton Leonard, voting trustee, holds all outstanding stock of both corporations. During the 6 months' period ending August 1, 1941, Hardy Metal Specialties, Inc., used raw materials consisting principally of catalin and steel, about 20 per cent of which, valued at about $18,000,'were shipped to the plant from places outside the State of New York. Dur- ing the same period, finished products, valued at $3,500, constituting about 1 per cent of the total value of the products finished at the plant, were shipped to places outside the State of New York. HARDY METAL SPECIALTIES, INC. 493 During the same period, Plastic Specialties, Inc., used raw mate- rials consisting principally of catalin and galalith, about 10 per cent of which, valued at about $8,200, were shipped to the plant from places outside the State of New York. During the same period, finished products, valued at about $2,000, constituting about .004 per cent of the total value of the products finished at the plant, were shipped to places outside the State of New York. II. THE ORGANIZATIONS INVOLVED Local 1224, United Electrical, Radio & Machine Workers of Amer- ica, is a labor organization affiliated with the Congress of Industrial Organizations, admitting to membership employees of the Companies. Plastic Button & Novelty Workers Union, Local 132, International Ladies Garment Workers Union, is a labor organization affiliated with the American Federation of Labor, admitting to membership employees of the Companies. III. THE QUESTION CONCERNING REPRESENTATION In August 1940 the C. I. O. began organizing the Companies' employees and conferred with the Companies' representatives for the purpose of securing an agreement. The Companies questioned the C. I. O.'s majority and informed the C. I. O. that the A. F. of L. was also negotiating for the same employees. On November 1, 1940, the A. F. of L. filed a petition for investigation and certification. On November 11, 1940, while such petition was pending, the A. F. of L. and the Companies entered into a closed-shop agreement, ter- minating August 21, 1941. 'On March 26, 1941, the C. I. O. and the A. F. of L., agreed to submit to arbitration the advisability of holding an election to deter- mine the choice of the Companies' employees for a. bargaining agent. On April 16, 1941, the arbitrator issued his award, finding that no election should be held at that time in view of the fact that the contract between the A. F. of L. and the Companies would expire within a few months. The petition filed by the A. F. of L. on November 1, 1940, was deemed adjusted by such award. On May 27, 1941, the C. I. O. filed the petition for investigation in this pro- ceeding. The contract between the A. F. of L. and the Companies, which will terminate August 21, 1941, constitutes no bar to this proceeding. A statement prepared by the Regional Director and other evidence adduced at the hearing disclose that the C. I. O. and the A. F. of L. 494 DECISIONS OF NATIONAL LABOR RELATIONS BOARD each represents a substantial number of employees in the appropri- ate unit.' We find that a question has arisen concerning the representation of employees of the Companies. 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 Companies 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 parties agree, and we find, that all production employees of both Companies, excluding clerical and supervisory employees, con- stitute a unit appropriate for the purposes of collective bargaining. We further find that said unit will insure to employees of the Com- panies the full benefit of their right to self-organization and to collective bargaining and otherwise effectuate the policies of the Act. 1 The C. I. O. submitted to the Regional Director two petitions . The first petition, cir- culated in October 1940, bears 81 signatures , 42 of which are names of employees on the Companies' pay rolls of July 30, 1941. This petition recites that the signers authorized the C. I O. to represent them and to take necessary action to recover back wages due the undersigned under the Fair Labor Standards Act. The second petition, circulated in December 1940. bears 54 signatures, 37 of which are names of employees on the Companies' pay rolls of July 30, 1941. This petition recites that the signers were forced to accept membership in the A. F. of L. by reason of the closed-shop agreement, that they preferred to be members of the C. I. 0 , and that they petitioned the Board to declare the contract between the Companies and the A F. of L. null and void and to designate the C. I. O. as their bargaining agent. At Ithe hearing the C. I O. submitted to the Trial Examiner 117 authorization cards, 45 of which bear signatures of employees on the Companies' pay rolls of July 30, 1941. Such pay rolls list a total of 2i 1 production employees . As a result of his check, the Trial Examiner stated that a substantial number of employees of both Companies had designated the C. I. O. to represent them. The A. F. of L. moved to strike this statement on the ground that the cards examined by the Trial Examiner were for the most part dated during the fall of 1940 and did not indicate a present desire on the part of such employees to be represented by the C. I. Q. since a later petition offered by the A. F. of L., repudiated such designation . The Trial Examiner reserved ruling on this motion for the Board. The motion is denied. A representative of the C. I. O. testified that the C. I. O. had no dues-paying members among employees of the Companies at the time of the hearing, that meetings of C. I. O. members could not be held safely in view of the existing closed-shop contract, and that an election was necessary to determine which organization the employees desired as their bargaining agent. All production employees of both Companies, in accordance with the terms of the exist- ing contract, are members of the A. F. of L. HARDY METAL SI'ECIALTIEISi, IN C. 495 VI. THE DETERMINATION OF REPRESENTATIVES We find that the question concerning representation of employees of the Companies can best be resolved by, and we shall accordingly direct, an election by secret ballot. Those eligible to vote in the election shall be employees in the appropriate unit who were employed by the Companies during the pay-roll period immediately preceding the date of this Direction of Election, subject to such limitations and additions as are set forth in the Direction. 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 Hardy Metal Specialties, Inc., and Plastic Specialties, Inc., New York City, within the meaning of Section 9 (c) and Section 2 (6) and (7) of the Act. 2. All production employees of Hardy Metal Specialties, Inc., and Plastic Specialties, Inc., New York City, excluding clerical and super- 'visory employees, constitute a unit appropriate for the purposes of collective bargaining within the meaning of Section 9 (b) of the 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 Relations Board Rules and Regulations-Series 2, as amended, it is hereby DmEcTED that, as part of the investigation authorized by the Board to ascertain representatives for the purposes of collective bargaining with Hardy Metal Specialties, Inc., and Plastic Specialties, Inc., New York City, 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 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 all production employees of both Companies 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 vacation or in the active military service 496 DECISIONS OF NATIONAL LABOR RELATIONS BOARD or training of the United States, or temporarily laid off, but excluding clerical and supervisory employees and employees who have since quit or been discharged for cause, to determine whether they desire to be represented by Local 1224, United Electrical, Radio & Machine Workers of America, C. I. 0., or by Plastic Button & Novelty Workers Union, Local 132, International Ladies Garment Workers Union, A. F. of L., for the purposes of collective bargaining, or by neither. MR. EDwiN S. SMITH took no part in the consideration of the above Decision and Direction of Election.