Crater Lake Lumber Co.

National Labor Relations Board - Board Decisions

Jun 24, 1941

32 N.L.R.B. 1076 (N.L.R.B. 1941)

In the Matter of* CRATER LAKE LUMBER COMPANY and CRATER LAKE
BOX AND LUMBER COMPANY and INTERNATIONAL WOODWORKERS OF
AMERICA, LOCAL No. 6-12, AFFILIATED WITH THE C. I. O.
Case No. C-1890.-Decided June 04, 1941
Jurisdiction : lumber industry.
Unfair Labor Practices : where dominated organization was not a party to set-
tlement proceedings the Board made findings of fact based on stipulated
evidence.
Remedial Orders : based upon stipulation.
Mr. William A. Babcock, Jr., and Mr. Harry George, for the Board.
Mr. John B. Ebinger, of Klamath Falls, Oreg., for the respondents.
Mr. Herbert Shenkin, of counsel to the Board.
DECISION
AND
ORDER
STATEMENT OF THE CASE
Upon charges duly filed by International Woodworkers of America,
Local No. 6-12, affiliated with the Congress of Industrial Organiza-
tions, herein called the Union, the National Labor Relations Board,
herein called the Board, by the Regional Director for the Nineteenth
Region (Seattle, Washington), issued its complaint, dated March
22, 1941, against Crater Lake Lumber Company and Crater Lake Box
'and Lumber Company, Klamath Falls, Oregon, herein called the
respondents, alleging that the respondents had engaged and were
engaging in unfair labor practices affecting commerce, within the
meaning of Section 8 (1) and (2) and Section 2 (6) and (7) of
the National Labor Relations Act, 49 Stat. 449, herein called the
Act. Copies of the complaint and notice of hearing thereon were
duly served upon the respondents, the Union, Industrial Employees'
Union, Inc., herein called the I. E. U., and Local 11, District 11, of
the I. E. U., herein called I. E. U. Local 11-11.
The complaint, as amended at the hearing, alleged in substance
that the respondents had dominated and interfered with the forma-
tion and administration of the I. E. U. and I. E. U. Local 11-11, and
had contributed various forms of support to these organizations; and
32 N. L. R. B., No. 167.
1076
CRATER LAKE LUMBER COMPANY 1077
also that the respondents had dominated and interfered with the
administration of Loyal Legion of Loggers and Lumbermen and
Local 11, District 11, of the Loyal Legion of Loggers and Lumber-
men, which organizations were the predecessors, respectively, of the
I. E. U. and I. E. U. Local 11-11. The respondents filed 'their
answers on April 3, 1941, denying that they had engaged in unfair
labor practices as alleged in the complaint.,
Pursuant to amended notices, a hearing was held at Klamath
Falls, Oregon, on May 22, 23, and 24, 1941, before A. Bruce Hunt,
,the Trial Examiner duly designated by the Chief Trial Examiner.
The Board' and the respondents. were represented by counsel and
participated in the hearing. During the course of the hearing-the
respondents and counsel for the Board entered into a stipulation in
settlement of the case. The stipulation provides as follows-
IT IS HEREBY STIPULATED by and between Crater Lake Lumber
Company, hereinafter called respondent Lumber Company, by
John B. Ebinger, its attorney, Crater Lake Box and Lumber
Company, hereinafter called respondent Box Company, by John
B. Ebinger, its attorney, and William A. Babcock, Jr., and
Harry George; attorneys for the National Labor Relations
Board :
I
International Woodworkers of America Local No. 6-12, here-
inafter called Local 6-12, affiliated with the Congress (of) In-
dustrial Organizations, is a labor organization within the-mean-
ing of Section 2, Subsection (5) ofothe National Labor Rela-
tions Act. Said local was chartered in July, 1937, and has_ been
continuously in existence since that time. It admits to mem-
bership employees of the respondent Box Company, and has
from time to time since April 1938, secured members and appli-
cations for membership from among the employees of the said
respondent.
II
Loyal Legion of Loggers and Lumbermen (hereinafter called
the 4L) was an association organized in 1917, and incorporated
in 1919, made up of employees (sic) engaged in logging, lumber-
ing and allied industries, in the states of Oregon, Washington,
Montana, Idaho, California and South Dakota, and the employ-
ees of such employers.
The basic unit of the 4L was the plant local. The 4L and
each of its locals were labor organizations. Each of the 4L
'At the hearing, after the stipulation referred to below had been entered into, the
respondents struck from the answers any denials inconsistent with the stipulation.
1078 DECISIONS OF NATIONAL LABOR RELATIONS BOARD
locals admitted to membership the employer and the employees
of such employer working at a particular plant or logging camp
of the employer. _
The 4L was organized in 1917 among the employers and em-
ployees of the logging and lumbering industry in the Pacific
Northwest and northern California as a part of the Federal
Government's war program. While the 4L was under the con-
trol of the War Department it was compulsory for employers
and employees in the industry to belong to it. The purpose
of the organization was to develop unity and understanding
among employers and employees in order that the production of
war materials would not be curtailed or delayed. At the close
of hostilities, when the 4L had some 75,000 members, the War
Department issued bulletins to the members advising of the
withdrawal of its connections from the 4L. The employers and
employees then voluntarily decided to continue the organiza-
tion, and in December 1918, the 4L was reorganized- to handle
the industrial relations of its members. In November 1919 the
4L was incorporated under the laws of Oregon as a non-profit
corporation with its principal office in Portland, Oregon. It
retained a membership of about 50,000 members until depression
struck the lumber industry in 1921 and 1922.
In April 1937 the 4L had a membership of 12,000. The terri-
tory covered by it then, and for many years prior thereto,
included the lumber districts of Washington, Oregon, Idaho,
Montana, South Dakota, Nevada, and California. The territory
was divided into 2 divisions and 12 districts. Within the dis-
tricts were locals. A local existed at each mill or logging camp
where an employer and 15 of more of his employees had joined
the 4L.
In April 1937, and for many years prior thereto, the 4L was
governed by a board of directors made up equally of employee
and employer representatives.- The board of directors elected
a president and approved the election of a vice president by the
employee representatives of the board of directors. The presi-
dent was the administrative head of the 4L. The vice president
directed the activities of the 4L field officers or organizers. The
4L constitution also established two divisional wage boards, and
a number of "regional going wage boards," each board being
composed of an equal number of representatives of employees and
employers, which settled various wage matters. The perpetua-
tion of the existing division of power between employers and
employees in the administration of the 4L was assured by a pro-
vision of the-4L constitution requiring a two-thirds vote of the
board of directors to amend the constitution, and a constitutional
CRATER LAKE LUMBER COMPANY 1079
prohibition against any amendment which would destroy the equal
voting power of employers and employees. .
The purposes of the 4L, since its inception in 1918, were among
other things, to maintain an 8-hour day, to secure just wages for
employees, to improve working conditions, and to provide means
for the adjustment of differences between employees and
employers.
The 4L was financed by initiation fees and dues. Each em-
ployee member paid dues of 25 cents per month, and each
employer member paid as his dues 25,cents per month for etch
of his employee members, but not less than a sum equal to 25
cents per month for 50 per cent of the total number of his regular
employees.
Ordinarily a 4L local was not organized until the employer
had affiliated with the 4L. The announcement of such affiliation,
coupled with the cooperation of the employer and his staff, by
furnishing leadership and other aid, was a powerful impetus to
the organization of the employees and the establishment of a 4L
local. Once a local was established, the combined efforts of the
employer and the 4L field officers were devoted to maintaining
or increasing employee membership. Field officers visited locals
regularly and aided in the conduct of meetings. They were free-
ly allowed access to the plants during working hours for the
purpose of 'organization. They also met with employers on such
occasions to exchange information and discuss the particular
labor problems of each employer. Special attention was given
by field officers to operations where a competitive threat from
an "outside" union was present. In such instances employer co-
operation and aid increased. The general procedure for
establishing 4L locals, outlined above, continued to be followed
after July 5, 1935, the effective date of the Act, and* a, number of
new 4L locals were established thereafter.
Members also aided in furthering the organization of the 4L.
They 'were protected in such activities by a provision of the 4L
constitution which prohibited discrimination against them for
engaging in activities to advance the welfare of the 4L. -
III
The respondent Lumber Company joined the 4L prior to July
5, 1935, and continued its membership until April 1, 1937. Dur-
ing this period the respondent Lumber Company paid dues to
the 4L as required by the Constitution and Bylaws of the 4L,
and deducted the dues of employee members, and paid them to
the 4L. The said respondent participated in the conduct of the
1080 DECISIONS OF NATIONAL LABOR RELATIONS BOARD
-affairs of the 4L in the election of directors and carried out
the duties and obligations of all employer members of the 4L as
set forth in its constitution and bylaws.
Huntington Taylor, .President of the said respondent, and
Manager of its operations, attended and participated in
Wage Board meetings of the 4L, conferred with field represent-
atives and officers of the 4L, and rendered advice and assistance
and counsel to such representatives and officers in the conduct
of the affairs of 4L and of 4L Local 11-11. Officers and supervi-
sory employees of the said respondent were members of 4L Local
11-11, attended meetings of said local, and participated in the
conduct of said meetings, and solicited members for said local.
The said respondent, in accordance with the provisions of the
Constitution and Bylaws of the 4L, granted the 4L members in
its operations, preference in employment, promotions and reten-
tion on the job.
The said respondent permitted field representatives of the
4L to speak to the employees on the job during working hours
about 4L business, and permitted members and representatives
of the 4L Local 11-11 to post notices and bulletins of the 4L
and of the said local on the property of the respondent, and
to solicit members and carry on business and activities of the 4L
and said local during working hours, without loss of pay of
the employees of the said respondent participating therein. The
meetings of the said local were held on the property of the
respondent without the payment of a rental therefor.
F. C. Baker, who was,employed by the respondent Lumber
Company as a timekeeper and general office man beginning early
in 1936, acted as the secretary of the 4L Local from that time.
The said F. C. -Baker solicited members and engaged in other
activities on behalf of said local on company property during
working -hours.
On April 1, 1937, and thereafter respondent Box Company, a
new and different corporation, leased the properties of respond-
ent Lumber Company and operated and has continued to oper-
ate thereon a sawmill and lumbering enterprise.
Huntington Taylor, who immediately prior to April 1, 1937,
had been the President and, General Manager of the respondent
Lumber Company, was employed as General Manager by the
respondent Box Company. The said business was conducted and
operations carried on by the respondent BoK Company after
April 1, 1937, in substantially the same fashion, and with the
same properties and equipment that had been used immediately
prior to April 1, 1937, and the respondent Box Company em-
ployed after April 1, 1937, substantially the same managerial,
CRATER LAKE LUMBER COMPANY 1081
supervisory and production and maintenance employees as had
been employed by the respondent Lumber Company prior to
April 1, 1937. The respondent Box Company did not sign or
enter into a certificate or agreement of affiliation with the 4L.
Dues were paid by said company to the 4L during the months
of April and May 1937, as required of 4L employer members by
the Constitution and Bylaws of the 4L, and dues of employee
members were deducted from their wages and paid to 4L by the
respondent Box Company, in the same manner as had been done
by the respondent Lumber Company prior to April 1, 1937.
During the months of April and May 1937, Huntington
Taylor, Manager of the respondent Box Company, attended
Regional Going Wage Board meetings of the, 4L, dealt - with
the Conference Committee of 4L Local 11-11, and corresponded
with the President of the 4L, purportedly as the manager of the
respondent Box Company. The said payment of dues and de-
duction of dues, and the said activities of Huntington Taylor
during the months of April and May,, 1937, were done without
the knowledge or consent of the corporate officers and directors
of the respondent Box Company.
On May 4, 1937, the said Huntington Taylor, purportedly
as manager of the respondent Box Company, submitted to the
President of the 4L the resignation of said respondent Box
Company as a member of the 4L.
IV
Beginning immediately after the decisions of the United States
Supreme Court on April •12, 1937, upholding the constitutional-
ity of National Labor Relations Act, discussion and correspond-
ence was had between the general officers of the 4L and a number
of employer members concerning the future of the 4L and the
effect of said decisions upon the organization. The qualms of
some employers, expressed in such discussion and correspond-
ence, resulted in the calling of a special meeting of the executive
committee of the 4L Board of Directors.
On April 27, 1937, the executive committee of the 4L board of
Jirectors, composed of three employees, and representatives of
three employers, met in Portland, Oregon, to consider the effect on
the 4L of the decisions of the Supreme Court upholding the consti-
tutionality of the Act. Also present were W. C. Ruegnitz, Presi-
dent of the 4L, A. D. Chisholm, vice president of the 4L, and C. L.
Billings, general manager of Potlatch Forests, an employer mem-
ber of the-4L. Ruegnitz opened the meeting by suggesting that
only a few minor changes of the 4L would be necessary in order to
1082 DECISIONS OF NATIONAL LABOR RELATIONS BOARD
insure its legality. At this time it was decided to call in King, an
attorney whose firm at that time was regularly representing a num-
ber of employer members of the 4L, in order to get a legal opinion
on the various questions involved. While waiting for King, the
employer representatives expressed the desire to withdraw from
the 4L and leave it-an employee organization. When King arrived
he stated that in his opinion lumber operations would be declared
to be in interstate commerce and that it would be unlawful for
employers to belong to or contribute to the 4L. He suggested that
the employers withdraw from the 4L and that the employees set up
their own organization. During the meeting the directors repre-
senting employers discussed the numerous problems which such a
course of action presented, and their views on such matters were
expressed to their coworkers, the employee directors. It was
finally decided that an organization limited-to employees should
be set up, and that a meeting of the board of directors should be
called for that purpose.
Immediately after the executive committee meeeting was over,
the employee directors on the committee met, together with Chis-
holm and Ford, a 4L field officer, in order to formulate a plan
which would legalize the 4L and which could be presented to the
board of directors when it convened. The group met again on
April 27 and on April 28. At the meeting on April 27, King was
called in to answer questions. The following morning the work
continued. King declined to participate further because of his
association with C. D. Johnson Lumber Corporation, and other
lumber operators, but suggested other counsel who might replace
him, including Jaureguy, who was subsequently employed for that
purpose. It was decided to alter the 4L rather than to create a new
organization. A copy of the 4L constitution and bylaws was used
as a form for the new constitution and bylaws. References to
employer contributions and other participation in the 4L were
deleted. A proposed constitution and bylaws was completed before
the board of directors met.
The 4L board of directors, composed of nine employees and nine
representatives of employers, met in Portland, Oregon, on April
29, 1937, in accordance with the direction of its executive commit-
tee. Dean Johnson, one of the employer directors, reported that the
executive committee recommended that employer members with-
draw from the 4L and that the employees take over the organiza-
tion, including its assets and liabilities, and continue it as a strictly
employee organization. The recommendation of the executive
committee was unanimously accepted by the board of directors
after King stated that it would be legal for the employee directors
CRATER LAKE LUMBER COMPANY 1083
to set up a new organization on the authority of the board of direc-
tors. The board of directors then voted to terminate the existing
contracts between employers and the 4L. Reugnitz, who had been
long recognized as a "company man," resigned from the presidency
of the 4L, and the nine employers represented on the board of
directors also resigned from the 4L. All of the employer repre-
sentatives withdrew from the meeting.
On April 30 the employee members of the board of directors
reconvened. A. D. Chisholm was elected president of the 4L. It
was voted that the "4L cease operation and that it be taken over in
its entirety, except employer membership, by the I. E. U." At
the same time it was decided that 4L employee members, local offi-
cers, members of committees and boards, including the board of
directors, should continue in the I. E. U. without any change of
status. Chisholm was elected president of the I. E. U. H. W.
Burton, executive secretary of the 4L, and E. N. Wightman,
treasurer of the 4L, retained their respective positions in the
I. E. U. For the remainder of the day and for a good part
of the session on May 1, the employee directors worked on a pro-
posed constitution and bylaws prepared by the employee directors
on the executive committee on April 27 and 28, which had been in
the hands of all of the directors from the commencement of the
meeting on April 29. After the'meeting of the board of directors
was concluded, copies of the proposed constitution and bylaws
were sent to the officers of the 4L Locals. On May 1 the directors
approved a notice and resolution prepared by Attorney Jaureguy
in connection with the filing of supplemental articles of incorpora-
tion for the 4L. A further meeting of the board of directors was
set for May 17, 1937.
On May 17, 1937, a special meeting of the 4L membership was
held in Portland, Oregon, at which time the proposed supple-
mentary articles of incorporation of the 4L, which provided for
changing the name of the organization to the I. E. U. and elimi-
nated all employer participation, were read and discussed. The
meeting was attended by about 70 members from 23 Locals out of
an approximate membership of 12,000 in 78 Locals. Notices of this
meeting were not sent to the 4L members individually but to the
local secretaries with the request to send them to the members. The
members present directed the board of directors to execute and file
the supplementary articles of incorporation. The board of direc-
tors was further ordered "to prepare and adopt a new constitution
and bylaws for carrying out the objectives of the I. E. U. as
expressed in the adopted supplementary articles of incorporation."
On the afternoon of May 17, after the membership meeting
had adjourned, the I. E. U. board of directors convened with
1084 DECISIONS OF NATIONAL LABOR RELATIONS BOARD
about 50 I. E. U. members also present. In accordance with the
instruction of the membership the board of directors executed
supplementary articles of incorporation. The board of directors
continued to meet on May 18, 19, and 20, devoting a large part
of its time to the consideration of the proposed constitution and
bylaws which had-been prepared at its meeting of May 1. At
the concluding session the I. E. U. constitution and bylaws and
regulations governing working agreements were adopted by the
board of directors.
The various 4L'Locals became I. E. U. Locals. The I. E. U.
issued formal charters to the I. E. U. Locals during the course
of -the succeeding month.
The I. E. U. received dues only from employees and initiation
fees only from members who had not previously belonged to the
4L. However, the I. E. U. started its existence with assets
of over $21,000, including net assets of approximately $17,000.
At the meeting of the executive committee of the 4L board of
directors on April 27 and at the meeting of the 4L board of
directors on April 29, when reorganization of the 4L was first
discussed, it was decided between employers and employees that
the assets of the 4L would be left with the employees for the
benefit of the new employee organization. The funds of the
I. E. U., which were taken over from the 4L, were used to
defray the expenses of reorganizing the 4L and to carry on the
organization work of the I. E. U. During the first 8 months of
its existence the I. E. U. expended $11,316 more than its current
receipts.
Contemporaneously with the execution of the. aforementioned
steps in the reorganization of the 4L, certain lumber operators
in the Willamette Valley, Oregon, belonging to the 4L started
to organize themselves into an association which might deal
with the organization replacing the 4L. On May 3, 1937, the
Willamette Valley Lumber Operators' Association, herein called
the Operators' Association, held its first meeting. The Oper-
ators' Association acted in the interest of its employer members.
One of its primary purposes was "to secure, so far as possible,
employer unity with regard to labor standards within the
territory served by the organization."
-Members of the Operators' Association consisted for the most
part of former 4L employees (sic). The respondent Lumber
Company and the respondent Box Company did not become
members of this Association. The directors of this Association
were all agents of former 4L employers. On May 5 Chisholm
asked the Operators' Association to have a committee present
CRATER LAKE LUMBER COMPANY 1085
in Eugene, Oregon, on May 8 to confer with a committee from
the Willamette Valley 4L Employees' Joint Council, which rep-
resented 4L employee members in the area similar to that cov-
ered by the Operators' Association, for the purpose of negotiating
a contract covering the I. E. U. Locals in such area. On the
morning of May 8 the 4L presented a working agreement to the
Operators' Association, which had been prepared by Chisholm,
Burton, and 4L field officers, and the Operators' Association gave
the 4L representatives a copy of the agreement which it pro-
posed. The meeting adjourned until the afternoon, when the
proposals were discussed and agreement reached. On May 10
the agreement was put into legal form and signed. Copies of
the agreement were sent by the I. E. U. to the I. E. U. Locals,,
together with a form, prepared for signature by an individual
operator and an I. E. U. Local, stating that it was agreed that
the signatories ratified the agreement of May 10 and would be
bound by its terms.
The Operators' Association concluded the contract of May 10
with the I. E. U. notwithstanding the fact that the I.-E. U. was
not formally organized and the locals in the districts to be cov-
ered by the contract had not voted to accept the I. E. U. One
of the purposes of both the Operators' Association and the
I. E. U. in entering into the contract was to furnish a method
by contract, rather than by membership as formerly in the 4L,
whereby employers and employees could meet together. - To this
end the contract provided for the establishment of a district
wage board composed of equal numbers of employers and em-
ployees to settle disputes arising between the conference
committee of an I. E. U. Local and an employer, and for com-
pulsory arbitration of such disputes in the event of disagreement
in the district wage board, in much the same manner as pro-
vided for in the 4L constitution. The contract also followed the
4L constitution in providing for the check-off, and in providing
that the I. E. U. would maintain a local at the operation of
each employer, the membership of which would be limited to
the employees of that employer, except that, with the consent
of the employers, employees of more than one employer could
be combined into a single local.
On or about June 14, 1937, a meeting of operators in the
Klamath Basin district in Oregon was held in Klamath Falls,
Oregon, which was attended by representatives of former
employer members of the 4L. A representative of the
respondent Box Company attended this meeting. At this meet-
ing a suggested revised text of the regulations governing working
1086 DECISIONS OF NATIONAL LABOR RELATIONS BOARD
agreements between employers and I., E. U. locals, which had
been adopted by the Board of Directors of the I. E. U. on
May 1, 1937, was prepared.
V
Industrial Employees Union, Inc., Local 11, District 11 (here-
inafter referred to as I. E. U. Local 11-11) was established at
Sprague River, Oregon, in the early part of June, 1937, as the
direct outgrowth of 4L Local 11-11. All steps leading to the
change were accomplished under the aegis of the 4L and 4L
Local 11-11.
During the early part of May, 1937, F. C. Baker, secretary of
4L Local 11-11, was advised of the action taken in Portland by
the 4L Board of Directors at the meetings on April 29, 30 and
'May 1, 1937. Baker called a special meeting of 4L Local 11-11
on or about May 15, 1937. This meeting was attended by super-
visory employees of the respondent Box Company and by L. H.
Heryford, employee member of the Board of Directors of the 4L.
Baker and Heryford explained to the membership the action that
had been taken at Portland. Heryford stated that the plan was
to reorganize the 4L to preserve its objectives and principles and
to eliminate features thought to be contrary to the provisions of
the National Labor Relations Act. Baker was elected as a dele-
gate from the local to attend the special meeting of the 4L
membership to be held in Portland on May 17, 1937. Baker
attended this meeting. His expenses were paid by 4L Local 11-11.
On his return from Portland Baker called a special meeting of
4L Local 11-11, at which he explained to the membership the action
that had been taken at the meeting in Portland. At this meeting
a majority of members present voted to accept affiliation with
the I. E. U.
Immediately thereafter a campaign was undertaken to sign
up members into said local, and a majority of the employees
signed application for ' membership cards. Baker secured the
signatures of most of such employees. Many of said signatures
were secured by Baker during working hours, on company prop-
erty and in the office of respondent Box Company. A number of
straw bosses and supervisory employees became members of said
local, solicited members and took an active part in the reorganiza-
tion of the local.
Said local was chartered in July, 1937, as Local 11, District 11,
of Industrial Employees' Union, Inc. The membership of said
local at the outset was substantially the same as the membership
of 4L Local 11-11. F. C. Baker was elected as secretary of said
CRATER LAKE LUMBER COMPANY 1087
local at a meeting early in June, 1937, and remained secretary
until about November, 1937.
The funds of 4L Local 11-11 were transferred to I. E. U. Local
11-11. General funds of the I. E. U., transferred to the I. E. U.
hy the 4L were used in connection with the efforts of the parent
I. E. U. organization to accomplish the reorganization' of 4L
Local 11-11 as I. E. U. Local 11-11.
VI
At various and different times since June, 1937, a number of
strawbosses and supervisory employees who in the course of their
duties supervise other employees in their work and assign work to
them, and who in the course of their duties are expected to report in-
efficiency and violations of the regulations of the company, have
been members, of the I. E. U. Local 11-11, and have attended and
participated in meetings of said local; certain of said supervisory
employees have held office and served on committees of said local.
Since June, 1937, members and representatives of I. E. U. Local
11=11 have solicited members and carried on activities on company
property, without loss of pay, and respondent Box Company has
permitted said local to post notices and bulletins pertaining to the
affairs of said local on company property.
On November 1, 1937, the respondent Box Company entered
into a collective bargaining agreement with I. E. U. Local 11-11.
This agreement was substantially the same as the standard form
of agreement prescribed by the I. E. U. parent organization, and
was made and executed to conform to the regulations governing
working agreements adopted by the Board of Directors of the
I. E. U. on May 20, 1937, as revised by the meeting of certain
operators held in Klamath Falls on June 14, 1937, described above.
In April and May of 1939, supervisory employees of the re-
spondent Box Company urged and advised numerous employees
of the said respondent to become and remain members of I. E. U.
Local 11-11.
. On April 17, 1940, the respondent Box Company entered into a
collective bargaining agreement with I. E. U. Local 11-11, which
agreement was executed to conform in most respects to the regu-
lations governing working agreements, referred to above, and pro-
vided, among other things, that any employee not in good standing
with the I. E. U. should have no seniority rights with the said
respondent.
On February 27, 1941, a supplemental agreement was entered
into between the said respondent and the said local which provided,
among other things, that all employees should be required to
become members of said local within 15" days of the execution
1088 DECISIONS OF NATIONAL LABOR RELATIONS BOARD
of the said supplemental agreement, and that employees who
failed to become members within 15 days should, upon request
from the union, be discharged.
I. E. U. Local 11-11 has at all times since June, 1937, been a
duly chartered local of the I. E. U. and has functioned under the
provisions of the Constitution and Bylaws of the I. E. U. and has
received the assistance and support and advice of the general
office and field representatives of the I. E. U. in accordance with
the provisions of said Constitution and Bylaws; and is and at all
times-'since June, 1937, has been an integral and competent part
of the I. E. U.
VII
Substantially all the facts herein recited respecting the organi-
zation-and operation of the 4L, and its locals, and its reorganization
into and operation of I. E. U., and its locals except such facts as
relate to 4L Local 11-11 and I. E. U. Local 11-11, have been found
by the Board, in the Matters of McGoldrick Lumber Company,
ea al., Cases Nos. C-639 to C-64, inc., 19 N. L. R. B., No. 93,
and are conceded by the parties, to be true.
All other facts set out in this stipulation are admitted by the
parties to be true and may be so found by the Board.
VIII
It is expressly agreed by the parties'hereto that on the basis of the
entire record herein, including the pleadings, transcript of testi-
mony, exhibits, and this stipulation, the following order in the
above matter may be made and entered by the National Labor
'Relations Board:
The respondents Crater Lake Lumber Company and Crater Lake
Box arid' Lumber Company, and each of them, and their officers,
agents, successors and assigns, shall
1. Cease and desist from :
(a) Dominating or interfering with the administration of the
I. E. U., I. E. U Local 11, District 11, or any other' local of
the I. E .U., or with the formation or administration of any
other labor organization of their employees, and from contrib-
uting financial or other support to the I. E. U., or I. E. U. Local
11, District 11, or any other _ labor organization of their
employees ;
(b) Recognizing the I. E. U., I. E. U. Local 11, District 11,
or any other I. E. U. Local as a representative of any of their
employees for the purpose of dealing with them concerning
CRATER LAKE LUMBER COMPANY 1089•
grievances , labor disputes , rates of pay , wages, hours of employ-
ment and other conditions of work;
(c) Giving effect to any contracts that they may have entered
into with the I. E. U., or I. E. U. Local 11, District 11, or any
other I. E. U. Local concerning wages, hours and working con-
ditions, whether they be contracts in existence at the time of
,the hearing in this case or contracts entered into subsequent to
said hearing;
(d) In any manner honoring any request by any of their
employees to contribute to the I. E. U., - or I. E. U. Local 11;
District 11, or any other I. E. U. Local , and in any manner
making further deductions from the pay or wages of their em-
ployees or any of them for dues or fees payable to or become
payable to said organization ;
(e) Encouraging membership in the I. E. U., or I. E. U. Local
11, District 11, or any other I. E. U. Local, by requiring or
threatening to require as a condition of employment membership
in the I. E. U., or I. E. U. Local, 11, District 11, or any other
Local of the I. E. U., or in any other manner discriminating in
regard to their employees ' hire and tenure of employment or
any term or condition of their employment;
(f) In any other manner interfering with, restraining or
coercing their employees in the exercise of their rights to self
organization , to form, join or assist labor organizations , to bar-
gain collectively through representatives of their own choosing,
to engage in concerted activities for the purpose of collective
bargaining or other mutual aid or protection , as guaranteed in
Section 7 of the Act.
2. Take the following affirmative action which the Board finds
will effectuate the policies of the Act:
. (a) Withdraw and withhold all recognition from the I. E.. U.,
I. E. U. Local 11, District 11, and any other Local of the I. E. U.
as a representative of any of their employees for the purpose of
dealing with them concerning grievances , labor disputes; rates
of pay, wages, hours of , employment , or other conditions of
work, and completely disesljablish the I . E. U. and I. E. U. Local
11, District 11, as such representative;
(b) Immediately post notices to all their employees , in con-
spicuous places about their plants and logging camp at and
near Sprague River, Oregon, and maintain such notices for a
period of at least sixty consecutive days, stating ,:, ( 1) that the
respondents will not engage in the conduct from which they are,
ordered to cease and desist in paragraphs 1 (a) to 1 (f) of this
Order; and (2) that the respondents will take the affirmative
action set forth in paragraph 2 (a) of this order;
1090 DECISIONS OF NATIONAL LABOR RELATIONS BOARD
(c) Notify the Regional Director of the Nineteenth Region in
writing within ten days of the date of this Order what steps
they have taken to comply with this Order.
IX
The parties hereto, and each of them, expressly consent and
agree that on application by the said Board, a decree enforcing
the order of the said Board in this matter may be made and
entered by the United States Circuit Court of Appeals for the
Ninth Circuit, without notice to any of said parties, and the
parties, and each of them, expressly waive their rights to contest
such application or to object to the entry of such decree and
expressly waive their rights to be notified of such application.
X
All parties hereto expressly waive their rights to further hear-
ing in this matter and to appear in person, or otherwise, to
give further testimony and examine or cross-examine witnesses.
XI
The entire agreement between the parties hereto is contained
within the terms of this stipulation, and there is no verbal agree-
ment of any kind which varies, alters or adds to it.
XII
It is understood and agreed this stipulation is subject to the
approval of the National Labor Relations Board after its sub-
mission to the Board in Washington, D. C.
On June 6, 1941, the Board issued its order approving the stipu-
lation, making it a part of the record in the case, and transferring the
proceeding to the Board for the purpose of entering a Decision and
Order by the' Board pursuant to the provisions, of the stipulation.
Upon the basis of the above stipulation and the entire record in the
case, the Board makes the following :
FINDINGS OF FACT
I. THE BUSINESS OF THE RESPONDENTS
The respondent Crater Lake Lumber Company is an Oregon cor-
poration with its principal office at Klamath Falls, Oregon. Between
1930 and April 1, 1937, it was engaged in the business of logging
and manufacturing and selling log's, lumber, and lumber products;
CRATER LAKE LUMBER COMPANY 1091
and in the course of this business it owned and operated a lumber
mill, box factory, and logging camp near. Sprague River, Oregon.
On April 1, 1937, these properties were leased to respondent Crater
Lake Box and Lumber Company, likewise an Oregon corporation
with its principal office at Klamath Falls, Oregon. The respondent
Crater Lake Box and Lumber Company was still operating said
properties at the date of the hearing. After April 1,,1937, the re-
spondent Crater Lake Box and Lumber Company conducted the
business in substantially the same fashion as it had been conducted
theretofore, using the same properties and equipment and employing
substantially the same managerial, supervisory and -production and
maintenance employees as had been employed by the respondent
Crater Lake, Lumber Company.,
During 1940 the respondent Crater Lake Box and Lumber Com-
pany, cut approximately 30,000,000 board feet of lumber, and its
sales were in excess of $500,000. More than 90 per cent of these
sales represented shipments of lumber to points outside the State
of Oregon. During the 12 months preceding April 1, 1937, the
gross sales of the respondent Crater Lake Lumber Company were
in excess of $300,000, of which more than 90 per cent represented
shipments to points outside the State of Oregon.
We find that the above-described , operations of the respondents
constitute a continuous flow of trade, traffic, and commerce among
the several States within the meaning of Section 2 (6) of the Act.
IT. THE ORGANIZATIONS INVOLVED
International Woodworkers of America, Local No. 6-12, affiliated
with the Congress of Industrial Organizations, Industrial Employees
Union, Inc., and Local 11, District 11, of Industrial Employees
Union, Inc., are labor organizations within the meaning pf Section
2 (5) of the National Labor Relations Act.'
III. THE UNFAIR LABOR PRACTICES
We find as facts the matters set forth in Sections II. to VI,
inclusive, of the stipulation. We find, further, that the respondents,
by the acts set forth in said sections of the stipulation, have dom-
inated and interfered with. the formation and administration of
the I. E. U. and I. E. U. Local 11-11. and have contributed support
to these organizations; and that the respondents thereby have inter-
fered with, restrained,, and coerced their employees in the 'exercise
of the rights guaranteed in Section 7 of the Act. We find there-
fore, that the I. E. U. and I. - E. U. Local 11-11, are incapable of
acting as true collective bargaining representatives of the employees
here involved.
448692-42-vol. 32-70
1092 DECISIONS OF, NATIONAL LABOR RELATIONS BOARD
IV. THE EFFECT OF THE UNFAIR LABOR PRACTICES UPON COMMERCE
We find that the activities of the respondents set forth in Section
III above, occurring in connection with the operations of the re-
spondents described in Section I above, have a close, intimate,, and
substantial relation to trade, traffic, and commerce among the several
States and tend to lead to labor disputes burdening and obstructing
commerce and the free flow of commerce.
ORDER
Upon the basis of the above findings of fact, the stipulation, and the
entire record in the case, and pursuant to Section 10 - (c) of the
National Labor Relations Act, the National Labor Relations Board
hereby orders that the respondents, Crater Lake Lumber Com-
pany and Crater Lake Box and Lumber Company, and each of them,
and their respective officers, agents, successors, and assigns shall:
1. Cease and desist from :
(a) Dominating or interfering with the administration of the
I. E. U., I. E. U. Local 11, District 11, or any other local of the I. E. U.
or with the formation or administration of any other labor organiza-
tion of their employees, and from contributing financial or other
support to the I. E. U., or I. E. U. Local 11, District "11, or any
other labor organization of their employees;
,(b) Recognizing the I. E. U., I. E. U. Local 11, District 11, or any
other I. E. U. Local as a representative of any of their employees
for the purpose of dealing with them concerning grievances, labor
disputes, rates of pay, wages, hours of employment and other condi-
tions of work;
(c) Giving effect to any contracts that they may have entered
into. with the I. E. U., or I. E. U. Local 11, District 11, or any
other I. E. U. Local concerning wgaes, hours and working conditions,
whether they be contracts in existence at the time of the hearing in
this case or contracts entered into subsequent to said hearing;
(d) In any manner honoring any request by any, of their em-
ployees to contribute to the I. E. U., or I. E. U. Local 11, District
it, or any other I. E. U. Local, 'and in any manner making further
deductions from the pay or wages of their employees or any of
them for dues or fees payable to or become payable to said
organization ;
(e) Encouraging membership in the I. E. U., or I. E. U. Local 11,
District 11, or any other I. E. U. Local, by requiring or threatening
to require as a condition of employment membership .in the I. E. U., -
or I. E. U. Local 11, District 11, or any other Local of the I. E. U., or in
CRATER LAKE LUMBER COMPANY 1093
any other manner discriminating in regard to their employees' hire and
tenure of employment or any term or condition of their employment;
(f) In any other manner interfering with, restraining or coerc-
ing their employees in the exercise of their rights to self-organization,
to form, join or assist labor organizations, to bargain collectively
,through representatives of their own choosing, to engage in concerted
activities for the purpose of collective bargaining or other mutual
aid or protection, as guaranteed in Section 7 of the Act.
2. Take the following affirmative action which the Board finds
will effectuate the policies of the Act :
(a) Withdraw and withhold all recognition from the I. E. U.,
I. E. U. Local 11, District 11, and any other Local of the I. E. U.
as a representative of any of their employees for the purpose of deal-
ing with them concerning grievances, labor disputes, rates of pay,
wages, hours of employment, or other conditions of work, and com-
pletely disestablish the I. E. U. and I. E. U. Local 11, District 11,
as such representative;
(b) Immediately post notices to all their employees, in conspicu-
ous places about their plants and logging camp at and near, Sprague
River, Oregon, and maintain such notices for a period of at least
sixty consecutive days, stating: (1) that the respondents will not
engage in the conduct from which they are ordered to cease and
desist in paragraphs 1 (a) to 1- (f) of this Order; and (2) that the
respondents will take the affirmative action set forth in paragraph
2 (a) of this Order;
(c) Notify the Regional Director of the Nineteenth Region in
writing within ten days of.the date of this Order what steps they
have taken to comply with this Order.