Grace Line, Inc.

National Labor Relations Board - Board Decisions

Nov 13, 1936

2 N.L.R.B. 369 (N.L.R.B. 1936)

In the Matter of GRACE LINE, INC., and PANAMA MAIL STEAMSHIP
COMPANY and NATIONAL MARINE ENGINEERS' BENEFICIAL ASSO-
CIATION, LOCAL No. 33
Case No. R-110.-Decided November 13, 1936
Water Transportation Industry-Election Ordered : controversy concerning
representation of employees-rival organizations ; substantial doubt as to ma-
iority status ; refusal by employer to recognize union as exclusive representa-
tive ; request by substantial number in appropriate unit-question affecting
commerce: confusion and unrest among employees -Unit Appropriate for Col-
lective Bargaining : community of interest ; craft ; established labor organiza-
tions in industry ; functional coherence.
Mr. David A. Moscovitz for the Board.
Mr. William Cogswell, of New York City, for the Companies.
Mr. Edward Patrick Trainer, of New York City, for the Union.
Mr. Herbert G. Dejarco, of New York City, for United Licensed
Officers of the United States of America.
Mr. William Gallagher, of New York City, for International
Union of Operating Engineers.
Mary Lemon Schleifer, of counsel to the Board.
DECISION
STATEMENT OF CASE
On September 28, 1936, National Marine Engineers' Beneficial
Association, Local No. 33, hereinafter referred to as M. E. B. A.,
filed a petition with the Acting Regional Director for the Second
Region alleging that a question affecting commerce had arisen con-
cerning the representation of the licensed marine engineers em-
ployed on the vessels operated by Grace Line, Inc., New York, New
York, and requesting an investigation and certification of repre-
sentatives pursuant to Section 9 (c) of the National Labor Relations
Act, 49 Stat. 449, hereinafter referred to as the Act. On October
5, 1936, the National Labor Relations Board, hereinafter referred to
as the Board, duly authorized the Acting Regional Director for the
Second Region to conduct an investigation and to provide for an
appropriate hearing. On October 6, 1936, the Acting Regional Di-
rector issued notices of a hearing to be held in New York, New York
on October 13, 1936. Copies of the notice of hearing were duly
served on Grace Line, Inc., M. E. B. A., and two other labor or-
369
370 NATIONAL LABOR RELATIONS BOARD
ganizations named in the petition as organizations claiming to rep-
resent the engineers. These organizations were the United Licensed
Officers of the United States of America, hereinafter referred to as
U. L. 0., and the International Union of Operating Engineers, Lo-
cal No. 3,1 hereinafter referred to as I. U. O. E.
Pursuant to the notice of hearing, a joint hearing in this case and
on a petition filed by M. E. B. A. concerning the representation of
engineers employed by Seas Shipping Company was held in New
York, New York on October 13, 1936, before Charles A. Wood, the
Trial Examiner duly designated by the Board. All who were served
with notice participated in the hearing. At the hearing; with the
consent of the representatives of all parties, Panama Mail Steamship
Company, an affiliate of Grace Line, Inc., was also made a party to
the proceedings. Full opportunity to be heard, to examine and
cross-examine witnesses and to introduce evidence bearing on the
issues was afforded all parties. Some objections to the admission
of evidence were made by the representatives of the various parties.
The Board has reviewed the rulings of the Trial Examiner and finds
that no prejudicial errors were committed.
Upon the evidence adduced at the hearing and from the entire
record now before it, the Board makes the following :
FINDINGS OF FACT
1. THE COMPANIES
Grace Line, Inc., a New York corporation, is engaged in the
business of transporting freight and passengers on ships sailing
from New York and other ports on the east coast of the United
States to ports in the West Indies Islands and ports in Central and
South America.2 Such ports include those of Jamaica and Cuba
in the West Indies Islands, the Canal Zone in Central America, and
Colombia, Ecuador, Peru and Chile in South America. The com-
pany operates 11 vessels in this service. Chief engineers, first as-
sistant engineers, second assistant engineers, and third assistant
engineers are employed by the company on each of these ships. In
addition, some of the ships carry additional assistant engineers and
junior engineers.
1 Erroneously referred to at the hearing as the National Association of Operating
Engineers.
2 This company also operates a service designated as the North Pacific Line which
operates from California to Chile. The Marine Engineers ' Beneficial Association has
entered into contracts with the company concerning the engineers employed in this service
and those engineers are not included in this petition.
DECISIONS AND 'ORDERS 371
Panama Mail Steamship 'Coiripany, a• Delaware corporation, is
engaged in the business of transporting freight and passengers- on
ship-,. sailing from New York and other ports on the east coast of the,
United' States to ports in the West Indies Islands, Mexico, Central'
America, South America aiid the west coast of the United States. Such
ports include those of Cuba in the West Indies' Islands; DZesico^'
Guatemala, Salvador, Costa Rica and Canal 'Zone in Central Amer-'
ica; Colombia and Chile in South America; and''California in the'
United States.' ' The company operates three vessels in this service.
Chief engineers and various assistant engineers are employed by the
company on each of these ships.
Grace Line, Inc. and Panama Mail Steamship Company are wholly
owned subsidiaries of ' Grace Steamship Company. All the vessels
operated by Grace Line, Inc. and one of the vessels operated by
Panama Mail Steamship Company are owned by Grace Steamship
Company. Grace Line, Inc. and Panama Mail Steamship Company'
operate 'these vessels under bare boat charters from Grace Steamship
Company. The other two vessels operated by Panama Mail Steam-
ship Company are owned by this company. - ' `
We find that Grace Line, Inc. and Panama Mail Steamship Com-
pany are engaged in transportation and commerce between the States
and between the United States and foreign countries and that the
engineers employed on the vessels operated by these companies are
directly engaged in such transportation and commerce.
II. THE UNIONS INVOLVED
The petitioning union, M. E. B. A., is a labor organization af-
filiated with the Brotherhood of Railway Locomotive Engineers. Its
membership is confined to licensed marine engineers.
U. L. 0. is an independent labor organization not affiliated with
any other labor organization. Its membership' consists of licensed
marine engineers and licensed deck officers.
I. U. 0. E. is a labor organization affiliated with the American'
Federation of Labor. Its constitution provides that "An applicant
for membership . . . must be a competent Engineer, Junior or Ap-,
prentice Engineer". The jurisdictional claims of this organization
are "All those engaged in the operation of steam boilers, stationary,
marine, Deisel, portable, hoisting and,electrical engines, gas engines,
internal combustion engines, or any machine that develops power".
It is apparent that this organization does not limit its membership
to marine engineers and that a marine engineer need not be licensed
to be eligible for membership.
5727-37-vol. i1-25
372 NATIONAL LABOR RELATIONS BOARD
III. QUESTION CONCERNING REPRESENTATION
Neither Grace Line, Inc. nor Panama Mail Steamship Company
has a contract with any labor organization concerning engineers or
licensed deck officers employed by these companies," nor has it bar-
gained collectively, with any labor organization concerning these
employees. Within a period of three to six weeks prior to the hear-
ing, Edward P. Trainer, business manager of M. E. B. A., requested
Richard R. Adams, vice-president of both Grace Line, Inc., and Pan-
ama Mail Steamship Company, to deal with M. E. B. A. as the
representative of the licensed marine engineers employed by these
companies. Adams refused to bargain with the representatives of
M. E. B. A., stating as the reason that the company was uncertain
as to which labor organization was entitled to act as the representa-
tive of these employees. At the hearing Adams testified that the
companies were not in a position to determine which organization a
majority of the employees desired to have represent them, that this
question should be determined, and that an election by secret ballot
would be an orderly way of determining this question. Adam, also,,
testified that Grace Line,, Inc. employed 47 licensed chief and as-
sistant engineers and 48 junior engineers find that Panama Mail
Steamship Company employed 16 licensed chief and assistant en-
gineers. At the hearing M. E. B. A. introduced 34 cards signed by
engineers employed by these companies authorizing M. E. B. A. to
represent them. Trainer 'testified that he was unable to state def-
initely the actual number of members of M. E. B. A. employed by
these companies because of the changing personnel on-the ships and
the difficulty in securing permission of the companies to go on the
ships for the purpose of determining the names of present-employees.
It is apLDarent that a substantial number of these employees -desire'
M. E. B. A. to represent them.
Representatives of both U. L. 0. and I. U. 0. E. testified that they
had members presently employed on the vessels operated by these
companies but stated they' were unable for the same reasons .given
by M. E. B: A. to determine the exact or even approximate number
of members presently employed on the vessels -operated by either
company.
Representatives of M. E. B. A. and of I. U. 0. E. testified that the
contending claims of'these various labor organizations have created
unrest among the employees of these companies.
We find that a question has arisen concerning the representation
of the engineers employed by Grace Line, Inc. and Panama Mail
Steamship Company and that this question tends to lead to labor
3 Excepting the'contradt of Grace Line, Inc. with Marine Engineers' Beneficial Associa-
tion covering engineers employed in the North Pacific Line. See footnote 2.
DECISIONS AND ORDERS 373
disputes burdening and obstructing transportation and commerce
between the States and between the United States and foreign
countries.
The question which has arisen concerning the representation of
employees can best be resolved by the holding of elections by secret
ballot to determine which of these organizations the -employees de-
sire to represent them.
IV. THE APPROPRIATE UNIT
Grace Line, Inc. employs 47 chief and assistant engineers who are
required by law to hold licenses as engineers. It also employs, as
required by law, 48 junior engineers who are not required to be
licensed. Actually, many of the junior engineers employed on the
vessels operated by these and by other companies hold licenses but
because of the surplus of labor are forced to accept positions as
junior engineers. M. E. B. A. stated in its petition that it consid-
ered the licensed engineers to be an appropriate unit. At the hear-
ing Trainer testified that because of prior precedents established by
the Board"In the Matter of International Merc'antile' Marine Com-
pany and 'its subsidiaries and Merchant Line,
Panama Pacific Line and United States' Lines and International
Union of Operating Engineers, Local No. 3, Case No. R..24, decided
March 21, 1936 (1I'N. L. R. B.'384), and In the Matter--of Black
Diamond Steamship Corporation and Marine Engineers Bene ficiat
Association, 'Local" No. 33, Case No. R. 107, decided September 24,
1936 (supra, p. 241), he considered junior engineers who'held•licenses
to be within the designated unit, and that he had been reliably in-
formed that practically all junior engineers employed at the present
time by Grace Line;'Inc. held licenses. Subsequently, evidence was
introduced'on behalf of the company thit`out of the 48' junior en-
gineers employed- at the time of,the hearing, 27 did not have licenses,
20 did have licenses, and that the company had no, information as
to whether the one remaining junior engineer was Or \vas'- not
licensed. Neither Trainer nor an''dther rep`reseiitative of M. E. B. A.
was recalled to testify as to what they considered the appropriate
unit under these circumstances.,
A junior engineer occupies a position between that of a licensed
assistant engineer and the oilers wipers and watertenders also e '
ployed in the engine `rooni. ' He-acts as an 'aid to assistant'engineers,
carrying orders to the 'oi'lers; wipers and waterteiid'ers' and supervises'
the carrying,out ofthese orders. •His'position'is, therefore; that'of
a petty officer. The evidence shows that'the company recognizes his.
position as being more closely" allied to that of the licensed officer
than to that of the oiler, wiper and -\atertender,` in that' the juniors'
374, NATIONAL LABOR RELATTO'NS • BOARD
eat ' with `the officers ! and sleep in quarters separate, from the oilers,
wipers•'and watertenders. While a junior engineer is not allowed
by law to stand watch alone, he stands watch as an assistant to the
licensed engineer in charge'of the watch,' a position' of responsibility
never, given to oilers, wipers or watertenders. 'Junior engineers
employed by these companies are required to have teclinical train-
ing or experience, a requirement not made as.°td wipers, oilers or
watertenders. The evidence also shows that there is no distinction
between the duties of a junior engineer who happens to possess a
license and one who does,not have a license.
In the, Matter of International Mercantile Marine Company, supra,,
the Board held that the appropriate unit did not include unlicensed
junior engineers., The evidence showed, however, that practically
every junior engineer employed by the International- Mercantile
Marine Company held a license. The appropriate unit in each case
must be determined • in light of the circumstances existing in the
particular case. The result of finding the appropriate unit in the
instant, case to include only licensed junior engineers would be to
split off from this homogeneous group, a minority'of their number.'
We feel this is, undesirable and so are faced with the alternative "of
either including,no junior engineers, or including,all.junior engineers
within the appropriate unit. We feel that under the circumstances
of this case and because the,position of these juniors is more.closely •
allied with that of the licensed engineers than. with the oilers, wipers
and watertenders, the junior engineers whether licensed or not, should
be, included in the unit. We have experienced some hesitancy in,
reaching this result because unlicensed junior 'engineers are not
eligible for membership in two of the three labor organizations in-
volved in this proceeding. However, since they are eligible to mem-
bership in one of these organizations and since, even though not
eligible to membership they may desire one of the other two labor
organizations to represent them, we feel that on the particular facts
before us our conclusion is justified.
At the he there was testimony that Grace, Line,. Inc. has on
its payroll licensed relief engineers who act as night engineers at
piers. The companies and the unions agreed at the hearing that
relief engineers, should be included in the unit. We see no reason
for excluding them.
The record shows that Panama Mail Steamship Company does not
employ any junior, engineers . The record is not entirely clear as to
whether this company employs any licensed relief engineers, but
seems to- indicate that it does.
Representatives of U. L. 0. testified they believed the appropriate
unit should ,include licensed deck, officers ' as well as licensed engi-
aneers. This problem was raised and carefully considered by the
DECISIONS AND ORDERS
Board In the Matter-of International Mercantile; Marine Co?tpany,
,supra; In the Matter of Lykes Brothers Steamship Co., Inc., Tampa
Inter-Ocean Steamship Co., Lykes Brothers Ripley Steamship Co.,
Inc., and National Marine Engineers' Beneficial Association, Na-
tional Organization of Masters, Mates and Pilots of America, Amer-
ican Radio Telegraphists Association, Cases Nos. R-36, R-37, and
R-38, decided July 8, 1936 (supra, p. 102); In the Matter of Black!
Diamond Steamship Corporation, supra; In the Matter of Swayna
c Hoyt, Ltd. and National Marine Engineers' Beneficial Associa,
tion, Pacific Coast District, Case No. R. 106, decided October 2, 1936
(supra, p. 282) ; and In the Matter of Panama Rail Road Company
and Marine Engineers' Beneficial Association, Case No. Rf-108, de-
cided October 21, 1936 (supra, p. 290). For the reasons stated in
those decisions the licensed deck ofticers,will not be included.
We find that the licensed chief, assistant and relief engineers and
the junior engineers, whether licensed or not, employed by Grace
Line, Inc. constitute a unit appropriate for the purposes of bargain-
ing collectively with respect to rates, of pay, wages, hours of employ-
ment and other conditions of employment.
We find that the licensed chief, assistant and relief engineers em-
ployed by Panama Mail Steamship Company constitute a unit ap-
propriate for the purposes of bargaining collectively with respect to
rates of pay, wages, hours of employment and other conditions of
employment.
THE ELECTIONS
U. L. O. and I. U. O. E. both requested that the Board order a
separate election in each of these companies. The companies and
M. E. B. A. opposed this method. We believe that since the unit
found by the Board to*be appropriate is different as to the two com-
panies, that since the evidence shows that although the two com-
panies are affiliated and have the same executive officers they are
factually maintained and in some respects operated as two separate
companies ,4 and that since labor conditions and incentives for organ-
ization may differ between •boats,going' only to South America and
those going also to the west coast of the United States, a separate
election should be held as to each of these companies.
An affidavit filed by Adams and made part of the 'record in this
case indicates that engineers are sometimes interchanged between
the companies, This evidence alone does not seem 'sufficient to justify
a conclusion that one election should be held. Because of this fact,
'however, we feel that any engineer within the unit found appro-
priate employed by either of these companies between September 28,
*The evidence shows that the companies each have their own . superintending engineer
but that the same port captain and commissary superintendent act for both.
376 NAT10NAL LABOR RELATIONS BOARD
1936, and the date of the Direction of Election, should be eligible to
vote as an employee of the company for which he makes the round-
-trip voyage at the conclusion of which the election is held.
Because of the peculiar conditions of employment in the maritime
industry and because no facts were developed in this case to show
any conditions which would require any variation, the Board will
follow the procedure it has ' used in' similar cases. . Notices of.'the
election, a sample ballot, a list of the employees eligible to vote and
a notice of the time and place where balloting will be held, shall be
posted in New York on each vessel operated by both of the com-
panies, at the beginning of the next trip, if possible, after the issii-
ance of the Direction of'Election and shall remain posted until the
tvessel returns to the port of New York lyhere balloting will take
place at a time and place to be designated by the Acting Regional
Director of the Second. Region. Eligibility to vote in the election
held among the employees of Grace Line, Inc. will- be limited to
those persons who were employed as licensed chief, assistant or relief
engineers, or as junior engineers on any vessel operated by Grace
Line, Inc. or by Panama Mail Steamship Company at 'any time be-
tween September 28, 1936, the date of the filing of the petition in
this case, and the date of the Direction of Election and who make
the round trip voyage, at the conclusion of which the election will
be held, on a vessel operated by Grace Line, Inc. Eligibility. to
vote in the election held among the employees of Panama Mail
Steamship Company will be limited to those persons who were em-
ployed as licensed chief, assistant or relief engineers on any vessel
operated by Panama Mail Steamship Company or as licensed chief,
assistant or relief engineers or junior engineers on any vessel oper-
ated by Grace Line, Inc. at any time between September 28, 1936,
the date of the filing of the petition in this case, and the date of the
Direction of Election and who make the round trip voyage, at the
conclusion of which the election will be held, on a vessel operated by
Panama Mail Steamship Company.
THE BALLOT
At the hearing and again in a brief filed subsequent to the hearing,
counsel for the companies urged that if the Board ordered an elec-
tion there should also be included on the ballot a blank space where
employees could designate any other,organization they might prefer
to have represent them. , This suggestion has been considered by the
Board. We hold that since ample opportunity was given at the
,hearing ,for the. introduction, of any evidence tending, to show that
any other organization claimed to represent these employees, but
that no such evidence was presented, the placing of a blank space on
the ballot is unnecessary. - ' '
DECISIONS AND ORDERS
CONCLUSIONS OF LAW
377
Upon the basis of the above finding of fact, the Board makes the
following conclusions of law :
1. The licensed chief, assistant and relief engineers and the junior
engineers, whether licensed or not, employed by Grace Line, Inc.,
constitute ,a • unit appropriate for the purposes of collective bargain-
ing, within the meaning of Section 9 (b) of the National Labor
Relations Act.
2. A question affecting commerce has arisen concerning the repre-
sentation.of licensed chief, assistant and relief engineers, and junior
engineers employed on the vessels operated by Grace Line, Inc.,
within the meaning of Section 9 (c) of the National Labor Relations
Act.
3. The licensed chief, assistant and relief engineers employed by
Panama Mail Steamship Company, constitute a unit appropriate for
the purposes of collective bargaining, within the meaning of Sec-
tion 9 (b) of the National Labor Relations Act.
4. A question affecting commerce has arisen concerning the repre-
sentation of licensed chief, assistant and relief engineers employed on
the vessels operated by Panama Mail Steamship Company, within
the meaning of Section 9 (c) 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 1, as
amended, it is
DIRECTED that, as part of the investigation authorized by the Board
to ascertain representatives for collective bargaining with Grace Line,
Inc., an election by secret ballot shall be conducted as soon as conven-
ient, and beginning as promptly as is practicable after the date of
this Direction, in conformity with the rules set forth hereinabove for
the conduct of the election, under the direction and supervision of
the Acting Regional Director for the Second Region, acting in this
matter as agent of the National Labor Relations Board, and subject
to Article III, Section 9 of said Rules and Regulations-as amended,
among the licensed chief, assistant and relief engineers and the
junior engineers, whether licensed or not, employed'on the vessels
operated by Grace. Line, Inc., to determine whether they desire to be
represented by Marine Engineers' Beneficial Association, Local No.
'33, or United Licensed Officers of the United States of America or
International Union'of Operating Engineers, Local No. 3; and it is
further
3'78 NATIONAL LABOR , RELATIONSr BOARD
DIRECTED that , an election by secret ballot shall be conducted as
soon as convenient , and beginning as promptly as is practicable after
the date of this Direction , in conformity with the rules set forth,here-
inabove for the conduct of the election , under, the direction and super-
vision of the Acting Regional Director for the Second Region , acting
in this matter as agent of the National Labor Relations Board and
subject to Article III, Section 9 of said Rules and Regulations-as
amended, among the licensed chief , assistant and relief engineers em-
ployed on the vessels operated by Panama Mail Steamship Company,
to determine whether they desire to be represented by Marine Engi-
neers' Beneficial Association , Local No. 33 , or United Licensed Offi-
cers of the United States of America or International Union of
'Operating Engineers , Local No. 3.
[SAME TITLE ]
SUPPLEMENTAL DECISION
AND
„DIRECTION OF ELECTION
February /, 1937
On November 13, 1936, the National Labor Relations Board, pur-
suant to an investigation duly authorized on a petition filed Septem-
ber 28, 1936 by National Marine Engineers " Beneficial Association,
Local No. 33, issued a Decision and Direction of Election in the
above entitled case. The Direction of Election provided that an
election by secret ballot be held among the licensed chief, assistant,
and relief engineers, and the junior , engineers , whether licensed or
not, employed on the vessels operated by Grace Line, Inc., and that
an election be held among the licensed chief, assistant , and relief
engineers employed by Panama Mail Steamship Company, to de-
termine the choice of these employees of representatives for the
purposes of collective bargaining."
On December 8,,1936, Grace Line, Inc. and Panama Mail Steam-
ship Company filed a petition asking for a rehearing, stating that
if such a rehearing were granted the petitioners would show by
additional evidence that one election, in which the specified em
ployees of both Companies should , vote, should be held instead of
a separate election in. each Company and' that the unit found to
be appropriate , should not have included junior engineers. On
December 31,' 1936, the Board issued and duly served notice of a
hearing to be held in New York City on January 7, 1937, on the mat-
ters set forth in the petition . Pursuant to the notice, a hearing was
held in New York City on January 7, 1937 , before Charles A. Wood,
DECISIONS AND ORDERS 379'
the Trial Examiner duly designated by the Board. Grace ,Line,
Inc., Panama :Mail ;Steamship Company, hereinafter referred to.col-
lectively as the Companies, National Marine Engineers' Beneficial
Association, hereinafter referred to as M. E. B. A., United Licensed
Officers of the United States of America, hereinafter referred to as
U. L. 0., and International Union of Operating Engineers, herein-
after referred to as I: U. O. E., were all represented and ;participated
in the hearing. Full opportunity-to be heard, to examine and. cross-
examine' Nvitnesses and to introduce evidence bearing on the issues
was afforded all parties:
Upon the evidence adduced at -the hearing and from the entire
record now before' it, the Board, in addition to the findings, of fact
embodied in the decision of November •13, 1936, makes the following,:
.FINDINGS OF FACT
1. The Companies employ 111 engineers,- 63 of whom are employed
as licensed chief, assistant; and relief engineers, and 48 of whom are
employed as' junior engineers: ' The ,48' 'junior engineers include 18
employed on the vessels operated by Panama Mail Steamship Com-
pany, and 30 on the vessels operated by Grace' Line, Inc.
The Board in its original Decision gave as • one of its reasons for
ordering separate elections, the fact that the unit found appropriate
in each Company differed, in that 'Grace Line, Inc. employed junior
engineers, while Panama Mail Steamship Company did not. We be-
lieve that even though we have now found that the unit is the same
in each Company, separate elections should still be held for the other
reasons given in the original Decision.
Although both Companies are wholly-owned subsidiaries of Grace
Steamship Company, they are operated as independent Companies.
In this regard, 'the evidence introduced by the Companies at the sec-
ond hearing merely corroborates that introduced at,the first. In-
deed, additional evidence introduced by Albert N. Floyd, vice-presi-
dent of the Grace Line, Inc.,' shows that the person to whom the rep-
resentatives chosen by the engineers of each of these Companies
would go in the first instance for purposes of collective bargaining,
would be the marine, superintendent. As is stated in the original
Decision, each of the Companies has its own marine,superintendent.
Evidence introduced at •the_second hearing also shows that on,a prior
occasion the Companies acted separately in executing contracts with
the International Seamen's Union.
2. No additional evidence was introduced at the rehearing which
indicated that,either licensed junior engineers or 'unlicensed junior
engineers .should be excluded from the unit found to be appropriate.
Floyd stated that he did not believe junior engineers should be in-
380 NATIONAL LABOR RELATIONS BOARD
cluded-as, a matter of discipline because junior engineers take orders
from licensed assistant engineers. This testimony lost any effect it
might otherwise have had by his admission that licensed assistant
engineers were required to take orders from the chief engineers. No
objection was made by the Companies against the inclusion of chief
and licensed assistant engineers in the unit.
Floyd also testified that International Seamen's Union, hereinafter
referred to as I. S'. U., claimed to represent the unlicensed junior
engineers since they represented all 'unlicensed personnel. He subse-
quently admitted that in the contract which Grace Line, Inc. now has
with I. S. U. there are no provisions covering unlicensed junior engi-
neers and that so far as he knows I. S. U. has never made any attempt
to negotiate for unlicensed junior engineers.
M. E. B. A. and U. L. 0. both stated they did not wish unlicensed
junior engineers to be included in the bargaining unit as they are not
eligible for membership in either organization. This situation was
discussed in the original decision of the Board. The matter of eligi-
bility for membership-in a labor organization is,only one factor to be
considered in determining ,the appropriate bargaining unit in each
case. The other considerations stated in the original decision have
not been shown erroneous. For the reasons there stated we find
that the licensed chief, assistant, and relief engineers and the junior
engineers, whether licensed or not, employed by each of the Com-
panies, constitute a unit appropriate for the purposes of collective
bargaining in respect to rates of pay, wages,,hours, of employment
and other conditions of employment.
CONCLUSIONS OF LAW
Upon the basis of the above findings of fact and the findings of
fact made-in the decision dated November 13, 1936, the Board makes
the following conclusions' of law and issues the following Direction
of Election,-which conclusions of law and Direction of Election shall
supersede those of the original Decision of the Board-:
1. The licensed chief, assistant, and relief engineers and the junior
engineers, whether licensed or not, employed by Grace Line, Inc. and
by Panama Mail Steamship Company, respectively, each constitute a
unit appropriate for the purposes of collective bargaining, within the
meaning of Section 9• (b) of the National Labor Relations Act.
2. A' question affecting commerce has arisen concerning the repre-
sentation of the licensed chief, assistant, and relief engineers and the
junior engineers, employed by Grace Line, Inc. and by Panama Mail
Steamship Company, within the meaning' of Section 9 (c) and Sec-
tion 2, subdivisions (6) and (7) of the National Labor Relations
Act.
DECISIONS AND ORDERS
DIRECTION OF ELECTION
381
By virtue of and pursuant to the power vested in the National
Labor Relations Board by Section 9 (c) of the National Labor Re-
lations Act, 49 Stat. 449, and pursuant to Article III, Section 8,
of National Labor Relations Board Rules and Regulations-Series
1, as amended, it is
DIRECTED that, as part of the investigation authorized by the
Board to ascertain representatives for collective bargaining with
Grace Line, Inc. and Panama Mail Steamship Company, respec-
tively, elections by secret ballot shall be conducted as soon as con-
venient, and beginning as promptly as is practicable after the date
of this Direction, in conformity with the rules set forth for the con-
duct of these elections in the Decision of this case issued by the Board
on November 13, 1936, under the direction and supervision of the
Regional Director for the Second Regipn, acting in this matter as
agent of the National Labor Relations Board, and subject to Article
III, Section 9 of said Rules and Regulations-as amended, among the
licensed chief, assistant, and relief engineers and the junior en-
gineers, whether licensed or not, employed on the vessels operated
by Grace Line, Inc. and, by Panama Mail Steamship Company, re-
spectively, to determine whether they desire to be represented by
Marine Engineers' Beneficial Association or, United Licensed Officers
of the United States of America or International Union of Operating
Engineers.
ISAME TITLE]
AMENDMENT OF DECISION
AND
DIRECTION OF ELECTIONS
September 8, 1937
On November 13, 1936, the National Labor Relations-Board, pur-
suant to an investigation duly authorized' on petitions filed Septem-
ber 28, 1936 , by National Marine Engineers ' Beneficial ' Association
Local No. 33, herein called M . K. B. A., issued a Decision and Direc-
tion of Election in the above entitled case. On February 4, 1937,
the Board issued a Supplemental Decision and Direction of Election.
The Supplemental Decision found that the licensed chief, assistant,
and relief engineers ; and the junior engineers, whether licensed -or not,
employed by Grace Line , Inc. constituted a unit appropriate for the
purposes of collective bargaining , and that the same classes of, em-
ployees of the Panama Mail Steamship Company constituted-an
appropriate unit. Pursuant to the Direction of Election , elections
'282 NATIONAL LABOR RELATIONS' BOARD
were held by the-Regional Director for the Second Region (New
York City) between March 13 and June 9, 1937, but no certification
of repre'seiitatives has yet been made by the Board.
On.June 11, 1937, a petition was filed with the Board by Interna-
tional Seamen's Union of America, herein called I. S. U., alleging
that a question, affecting commerce had arisen concerning the repre-
sentation of the unlicensed personnel employed in the deck, engine,
and stewards' departments of the vessels operated by Grace Line, Inc.
Notice of hearing was duly served on M. E. B. A., United Licensed
Officers of the United States 'of America, herein called "U. L. 0., and
international Union of Operating Engineers, herein called I. U. O. E.
At the hearing in New York City on June 21, 1937,, additional evi-
dence was taken on whether or not junior engineers, who are not re-
quired to be licensed by the United States Bureau of Marine Inspec-
tion and Navigation but many of whom hold licenses, should be
included with the licensed personnel or with the unlicensed personnel
for the purposes of collective bargaining. After consideration of all
the evidence, the Board determined that junior engineers who do not
hold licenses should be included in the unit consisting of unlicensed
personnel., This conclusion appears equally applicable to the unm
licensed junior engineers employed by Panama Mail Steamship
Company.
In the elections which have been held in Grace Line, Inc. and
Panama Mail Steamship Company among the licensed engineers and
the junior engineers, pursuant to the petitions filed by M. E. B. A.,
the majority received by one of the unions was so slight-that it is
apparent that the exclusion of junior engineers who do not hold
licenses might materially affect the results of these elections. Since
the ballots of junior engineers who do not hold licenses were not
segregated and the Board has no way ,of determining for which
union these men voted, another election must be held in these com-
panies before certification can be made pursuant to the petitions filed
by M. E. B. A.
We, therefore, issue a new Direction of Elections, and for the rea-
sons stated in our decision of July 16, 1937 , we amend the Supple-
mental Decision of February 4, 1937, by striking out the Conclusions
of Law therein and substituting the ,following therefor :
CONCLUSIONS OF LAW ,
1. `The licensed chief, • assistant; and relief engineers, and the
'junior engineers who hold licenses, employed by Grace Line, Inc.
and by Panama Mail Steamship Company, respectively, consti-
1American France Line et at and International Seamen 's Union of America, Case No.
R-157, decided July 16, 1937.
DECISIONS AND ORDERS 383
tute a unit appropriate, for the purposes of collective bargaining,
within the meaning of Section 9 (b)- of.,t1he National Labor
Relations Act.
2. Questions affecting commerce have arisen concerning the
representation of the licensed chief', assistant, and relief engi-
neers, and the junior engineers ivho' hold licenses, employed by
Grace Line, Inc. and by Panama ' Mail Steamship, Company,
within the meaning of Section 9 (c) and Section, 2, subdivisions
(6) and (7) of the National Labor Relations Act."'
DIRECTION OF ELECTIONS
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 1, as
amended, it is
DIRECTED that, as part of the investigation authorized by the Board
to ascertain representatives for collective bargaining with Grace
Line, Inc. and Panama Mail Ste,amship,Company, respectively, elec-
tions by secret ballot shall be conducted as soon as convenient and
beginning as promptly as is practicable after the date of this Direc-
tion, under the direction and supervision of the Regional Director for
the Second Region, acting in the matter as agent of the National
Labor Relations Board, and subject to Article III, Section 9 of said
Rules and Regulations-Series 1, as amended :
1. Among the licensed chief, assistant, and relief engineers, and the
junior engineers who hold licenses who were employed as licensed
chief, assistant, or relief engineers, or as junior engineers on vessels
operated by Grace Line, Inc. or Panama Mail Steamship Company
at any time between September 28, 1936, the date of the filing of the
petition, and November 13, 1936, the date of the original Direction
of Election in this case, and who make the round trip voyage, at the
conclusion of which the election will be held, as licensed chief, assist-
ant, or relief engineers, or junior engineers, on vessels operated by
Grace Line, Inc. ; and
2. Among the licensed chief, assistant, and relief engineers, and the
junior engineers who hold licenses, who were employed as licensed
chief, assistant, or relief engineers, or junior engineers on vessels
-operated by Grace Line, Inc. or Panama Mail Steamship Company
at any time between September 28, 1936, the date of the filing of the
petition, and November 13, 1936, the date of the original Direction
of Election in this case, and who make the round trip voyage, at the
conclusion of which the election will be held, as licensed chief, assist-
384 NATIONAL' LABOR -RELATIONS BOARD
ant, or, relief e_ ngii eers, or junior engineers, -on' vessels operated by
'Panama'Mail^ Steamship Company;
to determine whether they, desire to be represented by Marine Engi-
neers' Beneficial Association or United Licensed Officers of the
United States of America or International Union of Operating
Engineers, for the purposes of collective bargaining.
MR. EDWIN S. SMITH took no part in the consideration of the above
Amendment of Decision and Direction of Elections.