Beaver Machine & Tool Co., Inc.

National Labor Relations Board - Board Decisions

Dec 31, 1952

101 N.L.R.B. 1782 (N.L.R.B. 1952)

1782 DECISIONS OF NATIONAL LABOR RELATIONS BOARD
BEAVER MACHINE & TOOL CO., INC. and UNITED STEELWORKERS or
AMERICA, CIO, PETITIONER . Case No. 3-RC-425. December 31,
1952
Supplemental Decision and Order
On March 5, 1952, the Board issued a Second Direction of Election,'
and pursuant thereto an election was held on April 3, 1952, for all
production and maintenance employees at the Employer's Syracuse,
New York, plant. The tally of ballots, after 4 of the challenged
ballots were ordered by the Board to be opened and counted, showed
17 votes for and 22 against the Petitioner. On April 7, 1952, the
Petitioner timely filed objections to the election alleging that "repre-
sentatives of management and its agents have interrogated certain
employees, making promises and granting increases, thereby creating
an atmosphere that interfered with the free choice of employees."
On July 23, 1952, the Regional Director issued a report on objec-
tions to election in which he found that there was no evidence to
support the allegations as to interrogation and promises of benefits,
but found that, immediately preceding the election, a large number
of merit increases had been granted for the purpose of affecting the
employees' free choice in the pending election, and, therefore, recom-
mended that the election be set aside. On August 4, 1952, the Em-
ployer filed exceptions to the report on objections.
The Board, on August 27, 1952, directed a hearing to be held with
respect to the wage increases. The hearing was held on September
25, 1952, before Hearing Officer John Weld, who issued a report on
objections to election in which he concurred with the finding of the
Regional Director and recommended that the election be set aside
for the same reason . Thereafter, the Employer filed exceptions to
hearing officer's report on objections to election, and supporting brief.
The Board 2 has considered the hearing officer's report on objections
to elections, the Employer's exceptions and brief, and the entire record
in the case, and agrees with the hearing officer's finding that the Em-
ployer granted an unusually large number of merit increases in March
1952 in- order to influence its employees' freedom of choice in the
pending election.3 Twenty-two merit increases and three raises due
s The original Decision and Direction of Election issued on June 21, 1950, 90 NLRB 529.
2 Pursuant to the provisions of Section 3 (b) of the Act , the Board has delegated its
powers in connection with this case to a three -member panel [ Members Houston , Styles,
and Peterson].
8 Direct Laboratories, Inc., 94 NLRB 380.
101 NLRB No. 242.
BEAVER MACHINE & TOOL CO., INC. 1783
to transfers were announced within the 15-day period immediately
preceding the election,4 as compared to no wage increases in January
and only four in February 1952. The employees receiving such raises
constituted 53 percent of the existing unit, far above the highest
percentage of such raises in the past, as the Employer's policy is to
give individual merit increases rather than general wage increases.
The Employer contends that it became necessary to give a large num-
ber' of increases at this time because wage increases by competitive
employers were causing resignations among its employees. The Em-
ployer's treasurer, however, who customarily approved wage increases,
admitted knowing that these increases were allowable under Federal
wage regulations as early as January 1952. Furthermore, although
he was absent from the city from February 22 to March 19, there were
no employee resignations for higher wages during his absence, although
there were two in January and two in February before his departure.
The Employer contends, further, that the Petitioner is estopped from
objecting to such wage increases, because the Petitioner had knowledge
of them before the election and did not then object to the holding
of the election. We disagree, in view of the Board's recent holding
in The Great Atlantic and Pacific Tea Company, 101 NLRB 1118,
that there is no waiver with respect to charges based on election inter-
ference occurring after the date of the issuance of the notice of hearing.
As the interference found herein occurred after the Direction of Elec-
tion issued, we find that the right to file objections to such conduct
affecting the results of the election was not waived.
We accordingly find that the Employer's granting of wage increases,
under all the circumstances, constituted undue interference with the
election .5 We shall, therefore, set aside the election of April 3, 1952,
and direct that a new election be held at such time as the Regional
Director determines that the circumstances permit a free choice among
the employees herein concerned.
Order
IT is HEREBY ORDERED that the election held on April 3, 1952, among
the employees of Beaver Machine & Tool Co., Inc., Syracuse, New
York, be, and it hereby is, set aside.
4 There were 13 Increases which were made effective on March 17, 9 on March 24, and
3 on March 31.
" Le Roi company, 101 NLRB 55; N. L. R. B. v. W. T. Grant Company, 199 F. 2d 711
(C. A. 9).