Central Foundry Co.

National Labor Relations Board - Board Decisions

Mar 11, 1943

48 N.L.R.B. 5 (N.L.R.B. 1943)

In the Matter of CENTRAL FOUNDRY COMPANY and UNITED STEEL-
WORKERS OF AMERICA (CIO)
Case No. R-4623.Decided March, 11, 1943
Jurisdiction : cast iron pipe and fittings manufacturing industry.
Practice and Procedure : petition dismissed when no appropriate unit within its
scope; single-employer unit found inappropriate in view of history of collective
bargaining upon a multiple-employer basis.
Mr. Marion A. Prowell and Mr. Eugene M. Purver, for the Board.
Mr. Luther B. Liles, of Anniston, Ala., for the Company.
Mr. Noel R. Beddow and Mr. R. E. Farr, of Birmingham, Ala., for
the USA.
Mr. Joseph A. Padway and Mr. Herbert A. Thatcher, of Washing-
ton, D. C., and Mr. Shelly WValdon and Mr. J. D. Royal, of Cincinnati,
Ohio, for the-Molders.
'Mr. J:''C.`McGlon; of Washington, D. C., for the Machinists.
Mr. Leon Novak, of counsel to the Board.
DECISION
AND
ORDER
STATEMENT OF THE CASE
Upon petition duly filed by United Steelworkers of America, CIO,
herein called the USA, alleging that a question affecting commerce
had arisen concerning the representation of employees of Central
Foundry Company, Holt, Alabama, herein called' the Company, the
National Labor Relations Board provided for an appropriate hearing
upon due notice before A. Bruce Hunt, Trial Examiner. Said hearing
was held at Tuscaloosa, Alabama, on December 3, 1042. The Board,
the Company, the USA, International Molders and Foundry Workers
Union of North America, affiliated with 'the American Federation of
Labor, herein called the Molders, and International Association of
Machinists, Local Lodge No. 455, affiliated with the American Federa-
tion of Labor, herein called the Machinists, appeared, participated,,
and Were afforded full opportunity to be heard,-t6 examine and cross-
examine witnesses, and to introduce evidence bearing on the issues.;
At the hearing the parties agreed that certain of the Company's em-
48 N;L. R B, No 2. _
5
6 DECISIONS OF NATIONAL LABOR RELATIONS BOARD
ployees at its Holt plant constituted an appropriate unit and the
Board thereafter issued its decision 1 dated January 4, 1943, directing
an election by secret ballot at the said plant. Thereafter, the Molders
filed its motion to vacate the decision and to reopen the hearing for
the purpose of adducing evidence in relation to 'an alleged industry-
wide contract between an association -of manufacturers and the
Molders. Pursuant to an order of the Board dated January 14, 1943,
a further hearing-was thereafter held, after due notice, at Birmingham,
Alabama, on February 5, 1943, before James C. Batten, Trial Exam-
iner. The Board, the Company, the USA, the Molders, and the
Machinists appeared, participated, and were afforded full opportunity'
to be heard, to examine and cross-examine witnesses, and to introduce
evidence bearing on the issues. The Trial Examiner's rulings made
at'the further hearing are free from prejudicial error and are hereby,
affirmed. On February 15, 1943,.the Molders filed a brief, which the
Board has considered.
For the.reasons appearing. below,_ the Decision and Direction of
Election dated January 4, 1943, is hereby vacated and set aside. Upon
the entire record in the case, the Board makes the following :
.
- FINDINGS OF FACT
I. THE BUSINESS OF THE COMPANY
Central Foundry Company is engaged in the manufacture of cast-
iron pipe and fittings. The Company operates plants at Holt, Besse-
mer, and Anniston, Alabama, and at Newark, New Jersey. The Com-
pany's.plant at Holt is the only plant involved in this proceeding.
The principal raw materials used by the Company at the Holt plant
are pig iron, -coke, and sand, nearly all of which are obtained within
Alabama. A small amount of miscellaneous supplies and manufac-
tured parts are brought to the plant from points outside Alabama.
The Company produces at the Holt plant products amounting monthly
to approximately 6,500 tons, of which approximately 98 percent is
shipped outside Alabama. The Company admits that it is engaged in
commerce within the meaning of the National Labor Relations Act.
If. THE ORGANIZATIONS INVOLVED
United Steelworkers of America is a• labor organization affiliated
with the,Congress of Industrial Organizations, admitting to member-
ship employees of the Company.
International Molders and Foundry Workers Union of North Amer-,
ica is a labor organization affiliated with the American Federation of
Labor, admitting to membership employees of the Company.
1 46 N L R. B 676.
CENTRAL FOUNDRY COMPANY
International Association of Machinists, Local Lodge No. 455, is a
`labor organization affiliated with the American Federation of Labor,
admitting to membership employees of the Company.
III. THE ALLEGED QUESIZON OF REPRESENTATION
The USA contends that all employees at the Holt plant, excluding
foremen, assistant foremen, and higher supervisory employees, office
and clerical employees, stock room employees, retail store employees 2
and employees covered by a contract between the Company and the
Machinists,' constitute an appropriate unit. The Company and the
Molders contend that a unit restricted to employees at the Holt plant is
inappropriate and that the appropriate unit should be "Industry-wide,"
consisting of the foundry employees of all of the foundries repre-
sented in an industry-wide contract, including those at the Holt plant
of the Company. In support of its contention that the unit proposed
by the USA is inappropriate and that the "industry-wide unit" is
appropriate, the Molders points to the history of collective bargaining
on an industry-wide basis and the contracts resulting from its negotia-
tions , with a committee representing the manufacturers of soil pipe in
the South.
The soil pipe manufacturing industry in the South is confined almost
entirely to the States of Alabama and Tennessee. Prior to 1934 labor
conditions in the industry were unstable and wages, hours, and other
working conditions were not only unequal between the various found-
ries engaged in soil pipe manufacture, but were often unequal for
similar work performed in the same foundry. In, 1934, following
arrangements previously made between the representatives of 11 or 12
foundries in Alabama and Tennessee, and the duly elected delegates
and representatives of the Molders, a conference was held between a
committee representing the manufacturers and a committee repre-
ssenting the Molders. At this meeting piece- rate wages were discussed
and rates agreed upon for approximately 5,000 patterns of pipe and
soil pipe fittings. These rates were reduced to writing. Thus, for
the first time in the industry in the South, there was achieved a degree
of uniformity in wage rates, which served to stabilize and equalize
working conditions. Subsequently similar conferences between the
committees were held annually and semi-annually resulting, in each
instance, in increased wage rates and in reduced working hours.
Until December 1940, none of these conferences and agreements
ripened into written contracts. On December 19, 1940, for the first
l2These employees are iepresented by Retail Clerks Union
3The Machinists' contract covers,,in general, machinists and their apprentices and help-
ers , electhcal workers and their apprentices and helpers , and sheet metal workers, pipe
fitters,' boilermakers, and their apprentices and helpers ; and blacksmiths, blacksmith
ivelders, and their apprentices and helpers.
S DECISIONS OF NATIONAL LABOR RELATIONS BOARD
time, a written contract was executed. By its terms the contract pro-,
•vided for recognition of the Molders as the exclusive representative of
all of the employees of the manufacturers 4 and fixed wages and hours
for such employees. The term of the contract was 'for the period
expiring December 31, 1941, with automatic renewal thereafter unless.
a contrary intention was indicated by 30 days' notice. ' The contract
was signed by the persons constituting the "Labor Committee" repre-
senting the manufacturers, and also by the persons constituting a
committee representing the Molders. According to uncontradicted
testimony, the committee representing the manufacturers had full
authority to bind the manufacturers to written contracts without first
obtaining the ratification of the individual employers to the terms
agreed upon.
Upon proper notice and after renewal of conferences between the
same committees, supplemental contracts were similarly signed on
June 11, 1941, and December 29, 1941. On December 18, 1942, the
contract was renewed in the same manner for an additional period of
(i months.5 As with the oral agreements entered into prior to 1940,
the written contracts in each instance provided for increased' wage
rates for the employees of the manufacturers represented by the
industry committees ,
On March 28, 1942, while the "industry-wide" contract was in force;
the Molders made a written demand, upon the Company for a closed-
shop contract covering employees at the Holt plant. On April 28;
1942, since the Company had not responded favorably to its request,
the Molders filed, a petition with the Board for investigation and certi-
fication of representatives of employees at the Holt plant and the fol-
lowing day the Company and the Molders entered into an agreement
for a cross-check of the Molders membership records and the Com-
pany's time records, to determine whether a majority of all the Com-
pany's foundry employees wished to' be-represented by the Molders.
Following the issuance of a report by,the Regional Director, on the
cross-check, certifying that the Molders represented a majority of the
employees, the Company entered into a closed-shop contract on May
20, 1942. By specific reference to the existing industry-wide contract,
4 Although the 1940 contract recognizes the Aloldeis as the exclusive representative of
all of the employees and similar language has been used in subsequent contracts, the Com-
pany and the Molders agreed that employees in categories represented by the Machinists'
have not been covered, The USA agreed, similarly, as to the Holt plant of the Company.
G This contract is now subject to the approval of the National War Labor' Board
O The employees of the various plants of the follow mg manutacturers are covered by
the 1940 contract : Alabama Pipe Company, Anniston Foundry Co , Central Foundry Co ,
Gadsden Iron Works, Inc, Rudisill Foundry Company, and Somerville Iron Works Sub-
sequent to 1939 only the Bolt and Anniston plants of the Company were thus represented.
On February 5, 1940, the Board, upon petition of the Steel Workers Organizing Cow
mittee (predecessor of the USA), for the reasons 'stated in its decision, held that the
Bessemer plant of the Company, which was not a soil pipe plant, constituted an appro;
prate unit for the pus poses of collective bargaining, 20 N. L. R B 131.
CENTRAL FOUNDRY COMPANY 9
however; the contract of'May 20 provided that substantially all other
working conditions , wages and hours were to remain the same as agreed
upon therein.7 This contract was for a term expiring December 31, .
1942, with automatic renewal thereafter unless a contrary intention was
indicated on 30 days' notice by either party to the other. No such
notice was given by either party, and the closed-shop contract is still
in effect."
The USA now contends that neither the industry-wide contract
nor the contract of May 20, 1942' between the Company and the Mold-
ers, constitutes a bar to this proceeding. It argues that by their entry
into a separate closed-shop contract, the Company and the Molders
recognized the Holt plant as an appropriate unit for 'the purposes of
collective bargaining. We cannot agree with this contention.
We are convinced from the record made at the further hearing that
the history of collective bargaining has established an appropriate unit
consisting of foundry employees of the soil pipe manufacturers repre-
sented by the industry committee. This committee has negotiated
with the Molders since 1934 on substantial and significant subjects of
collective bargaining, and the results of the negotiations have been
embodied in"written agreements since 1940. As'stated above, the em-
ployer" committee has had full authority to enter into binding agree--
ments on behalf of the individual employers represented by the com-
mittee. The bargaining upon this multiple-employer basis has
achieved a considerable degree of stability in the industry in the South
and has resulted in the adjustment of wages and hours upon a uniform
basis in marked contrast to the unsettled conditions existing prior to
1934. Where substantial and significant matters of collective bargain-
ing are treated on a multiple -employer basis , the existence of a single
unit comprising the employees of such employers is not affected by the
fact that certain matters not covered by the association-wide agree-,
went are the subject of negotiation in the individual plants. Thus the
negotiations between the Company and the Molders which in May 1942
resulted in the execution of a contract providing for a closed shop at
the Holt plant, cannot be considered as nullifying the multiple-
employer unit. The Company did not revoke the authority of the
committee to bind it with respect to those subjects of collective bargain-
ing cohered by the industry-wide contract. Indeed, the May 1942
contract specifically confirmed all the provisions of the industry-wide
T The May 20 contract made the following changes : the shipping department was excepted
from the piovision requiring time and one -halt for work in excess of 8 hours per day;
it.also provided that time and one-half, instead of double time , should be paid for Sunday
and holiday woik doting the existence of the present emergency.
The petition in the instant proceeding was filed by the USA in September i 942. •A pre-
vious petition filed with the Board on June 17, 1942, by the USA, was dismissed by the
Board on July 10, 1942 , upon its finding that the contract dated May 20, 1942 , entered
into between the Company and the Mohleis, constituted a bar to a.determination of repre-
sentatives at tnat time , 42 N. L. R B 205.
10 DECISIONS OF- NATIONAL LABOR RELATIONS BOARD,
contract relating to wages, hours, and working conditions and was in
no respect contrary to the terms of the industry agreement. Nor can
we disregard the facts pointing to the appropriateness'of a multiple-
employer unit because all parties stipulated, at the first hearing in this
case, that the Holt plant constituted an appropriate unit. In view
of the history of bargaining upon a multiple-employer basis, we find
that a unit restricted to employees of the Company at the Holt plant,
as proposed by the USA, is inappropriate for the purposes of collective
bargaining. Accordingly, we now find that no question affecting com-
merce concerning the representation of employees in an appropriate
tout has arisen. We shall therefore vacate our Decision and-Direction
of Election of-January 4, 1943, and shall dismiss the petition of the
USA.
ORDER
Upon the basis of the foregoing findings of fact and upon the entire
record in the case, the National Labor Relations Board hereby vacates
the Decision and Direction of Election dated January 4,, 1943, and
orders that the petition for investigation and certification of repre-
sentatives of employees of Central Foundry Company, Holt, Alabama,
filed by United Steelworkers of America, CIO, be, and it hereby is,
dismissed.