Keystone Steel & Wire Co.

National Labor Relations Board - Board Decisions

Jan 8, 1946

65 N.L.R.B. 274 (N.L.R.B. 1946)

In the Matter of KEYSTONE STEEL & WIRE COMPANY and UNITED FARM
EQUIPMENT AND METAL WORKERS OF AMERICA, C. I. 0.
In the Matter of KEYSTONE STEEL & WIRE COMPANY and INTERNA-
TIONAL BROTHERHOOD OF FIREMEN & OILERS, A. F. L.
In the Matter of KEYSTONE STEEL & WIRE COMPANY and INTERNA-
TIONAL UNION OF OPERATING ENGINEERS, A. F. L.
Cases Nos. 13-R-3180, 13-R 189, and 13-R-- .00, respectively.-
De-cided January 8, 19/.6
Baer, Clenderlin d Davis, by Mr. Ar leigh Davis, of Peoria, Ill.,
for the Company.
Meyers d Meyers, by Mr. N. E. Baker, of Chicago, Ill., and Messrs.
Bruce Brown and Orval E. Taylor, both of Peoria, Ill., for the
C. I. O.
Mr. John Casserlry, Jr., of Peoria, Ill., for the Firemen.
Mr. Earl R. Calvin, of Peoria, Ill., for the Operating Engineers.
Mr. E. J. Reid, of Chicago, Ill., and Mr. J. IV. McGee, of Peoria,
Ill., for the Machinists.
Mr. Earl J. Calandro, of Peoria, Ill., for the U. M. W.
Mr. E. V. Champion, of Peoria, Ill., for the Alliance.
Mr. John A. Nevros, of counsel to the Board.
DECISION
AND
DIRECTION OF ELECTIONS
STATEDIENT OF THE CASE
Upon separate petitions duly filed by United Farm Equipment and
Metal Workers of America, C. I. 0., herein called the C. I. 0.,' In-
ternational Brotherhood of Firemen and Oilers, A. F. L., herein called
the Firemen, and International Union of Operating Engineers,
A. F. L., herein called the Operating Engineers, alleging that questions
affecting commerce had arisen concerning the representation of em-
ployees of Keystone Steel & Wire Company, Bartonville, Illinois,
herein called the Company, the National Labor Relations Board con-
' The C I 0 filed a first amended petition on July 13, 1945
65 N. L R B, No. 56.
274
KEYSTONE STEEL & WIRE COMPANY 275
solidated the cases'and provided for an appropriate hearing upon due
notice before Gustaf B. Erickson, Trial Examiner. The hearing was
held at Peoria, Illinois, on August 23, 1945. In advance of the hear-
ing, Independent Steel Workers Alliance, herein called the Alliance,
filed a motion to intervene and to *stay all proceedings in the case,
pending judicial review by the United States Circuit Court of Ap-
peals for the Seventh Circuit of the Board's Decision and Order in
Matter of Keystone Steel cC Wire Company, Case No. 13-C-2069,2 in
which the Board directed the Company to withdraw all recognition
from and to disestablish the Alliance as a collective bargaining repre-
sentative of any of its employees and to cease giving effect to any col-
lective bargaining agreement it had with that organization. TheTrial
Examiner denied the motion at the hearing. For the reasons cited by
us in Matter of Johnson Bronze Company 3 and in Matter of New Idea,
Inc.,4 this ruling of the Trial Examiner is hereby afiirnied.5 The Com-
pany, the C. 1. 0., the Firemen, the Operating Engineers, International
Association of Machinists, Lodge No. 360, herein called the Machinists,
and District 50, United Mine Workers of America, Independent,
herein called the U. M. W., appeared and participated. All parties
were afforded full opportunity to be heard, to examine and cross-
examine witnesses, and to introduce evidence hearing on the issues.
All other rulings made by the Trial Examiner at the hearing are free
from prejudicial error and are hereby affirmed. All parties were af-
forded opportunity to file briefs with the Board.
Upon the entire record in the case, the Board makes the following:
FINDII GS OF FACT
1. TILE BUSINESS OF TILE COMPANY
Keystone Steel & Wire Company, an Illinois corporation, owns and
operates a plant consisting of a steel mill and wire mill, at Barton-
ville, Illinois, where it is engaged in the manufacture, sale, and dis-
tribution of semi-finished and finished steel products. During the
year 1944 the Company purchased raw materials valued in excess
of $1,000,000, of which approximately 50 percent represented ship-
ments to the Company from sources outside the State of Illinois.
During the same period the Company's sales exceeded $1,000,000, in
2 62 N. L R B 683
a59N L R B 957
25N L. R. 11 265
5 The Tnial Examiner denied the C I 0 s motion for dismissal of the U M. W 's petition
to intervene on the ground that the showing of interest was inadequate and for dismissal
of the Machinists' petition for lack of any showing of interest Since the claims of inter-
est of the U M W and the Machinists were substantiated, as appears in Section III,
infra, by their showings of membership in the units alleged by them to be appropriate, the
Trial Examiner ruled correctly in the premises.
276 DECISIONS OF NATIONAL LABOR RELATIONS BOARD
value, of which more than 50 percent represented shipments to points
outside the State.
The Company admits that it is engaged in commerce within the
meaning of the National Labor Relations Act.
II. THE ORGANIZATIONS INVOLVED
United Farm Equipment and Metal Workers of America, affiliated
with the Congress of Industrial Organizations, is a labor organization
admitting to membership employees of the Company.
International Brotherhood of Firemen and Oilers, and Interna-
tional Union of Operating Engineers, both affiliated with the American
Federation of Labor, are labor organizations admitting to membership
employees of the Company.
International Association of Machinists, Lodge No. 360, and Dis-
trict 50, United Mine Workers of America, Independent, are labor
organizations admitting to membership employees of the Company.
IIT. T14E QUESTIONS CONCERNING REPRESENTATION
The Company refuses to grant recognition to the C. I. 0., the Fire-
men, or the Operating Engineers as the exclusive collective bargaining
representatives of any of its employees pending completion of litigation
concerning the Board's Decision and Order in Matter of Keystone Steel
d Wire Corzpany.s
A statement of a Board agent, introduced into evidence at the hear-
ing, indicates that the C. I. 0., the Firemen, and the Operating En-
gineers each represents a substantial number of employees in the units
alleged to be appropriate in Cases Nos. 13-R-3180, 13-R-3189, and
13-R-3200, respectively.,
We find that questions affecting commerce have arisen concerning
the representation of employees of the Company, within the meaning
of Section 9 (c) and Section 2 (6) and (7) of the Act.
6 See footnote 2, supra
' The Field Examiner reported that the C . I. 0., the Firemen , and the Operating Engi-
neers, submitted 5t4, 7, and 9 application -for-membership cards , respectively . The record
indicates that there are approximately 1,400 production and maintenance workers in the
unit sought by the C. I 0 ; approximately 10 employees in the unit alleged to be appro-
piialc by the Firemen , and approximately 9 employees in the unit sought by the Operat-
ing Engineers . The Company did not submit any pay roll against which the cards
might be checked
The Field Examiner also reported that the Machinists submitted 233 application-for-
membership cards At the hearing the U Al W submitted 123 authorization cards. The
unit sought by both the Machinists and the U . M W. is similar to the one alleged to be
appropriate bi the C 1 0
Although the C I 0 impliedly contended to the contrary, we find that the Machinists
and the U M W have made a showing of interest sufficient to entitle each of theme, to a
place on the ballot. See Matter of United States Rubber Company, Synthetic Rubber
Division . 56 N L R . P. 1328 , Matter of Elgin National Watch Company , 56 N L. R B.
30 Matter of Castle Dome Copper Co ., Inc., 52 N L R . B. 135; and Matter of Kennecott
Copper Corporation , 51 N L R . B 1140.
KEYSTONE STEEL & WIRE COMPANY 277
lV. THE APPROPRIATE UNIT ; THE DETERMINATION OF REPRESENTATIVES
The Firemen contends that all firemen and their helpers, employed
in the powerhouse constitute an appropriate unit. The Operating
Engineers alleges that the engineers and their helpers in the power-
house, including the powerhouse superintendent 8 constitute an ap-
propriate unit. While the C. I. 0., the Machinists, and the U. M. W.
are in general accord that all production and maintenance employees
excluding watchmen, office and clerical employees, foremen, assistant
foremen, and supervisory employees constitute an appropriate unit,
the C. 1. 0. and the Machinists agree that the firemen and their helpers
on the one hand, and the engineers and their helpers on the other hand,
may constitute separate appropriate units, or form part of the pro-
duction and maintenance unit, depending in part upon the desires of
these groups of employees.9 The Company, however, maintains gen-
erally that only a plant-wide unit including the firemen and the
engineers is appropriate.
The Company has had collective bargaining relations with the
Alliance and a predecessor organization, the Keystone Employees'
Assocation, herein called the K. E. A. Both organizations were found
by the Board to have been company-dominatedl9 Inasmuch as the
K. E. A. and the Association are illegal labor organizations under the
Act, the history of collective bargaining between them and the Com-
pany does not necessarily reflect or establish the desires of the em-
ployees respecting representation, and can have no weight in deter-
mining the appropriate collective -bargaining unit, or units.
The Company has approximately 1,700 employees, of which
approximately 1,400 are production and maintenance employees, and
approximately 300 are office clerical employees. The Company's plant
operations are composed of 2 divisions which are approximately an
eighth of a mile apart, viz, the steel mill and the wire mill. The
forlner includes scrap preparation yards, an open hearth, a blooming or
breakdown mill," a rod mill,12 loading and maintenance facilities;
and the latter consists of various departments for cleaning, processing,
and drawing wire, a machine shop, the main office, and shipping and
maintenance facilities. The 2 mills are connected by a narrow gauge
industrial railroad which is operated exclusively by Company em-
ployees,,who form an integral part of the production process. There
is substantia[ interchange of both production and maintenance per-
sonnel bet`,,een the 2 plants. In addition, all operations are centrally
e Referred to a s the chief engineer by the Operating Engineers.
9 The U. M. IT. has not stated its position on self-determination for the firemen and the
engineers.
10 See footnote 2, supra.
11 For blooming ingots Into billets.
'^ For converting billets Into rods.
278 DECISIONS OF NATIONAL LABOR RELATIONS BOARD
supervised, and the service departments are maintained by a central
division. A single powerhouse furnishes steam and electricity neces-
sary for the operaton of both mills.
Both the firemen and their helpers, and the engineers and their
helpers, work in the Company's powerhouse. The firemen make steam
and the engineers manufacture electricity. The firemen are skilled
employees who are required to have a knowledge of the operation of
furnaces and boilers and obtain their jobs only after having had 3
years' experience in such work. They are not licensed, inasmuch as
the Company's plant is located beyond the city limits of Peoria, Illi-
nois,13 but they possess the qualifications of licensed firemen. Like-
wise the engineers are skilled employees in the production of electric
power. While the evidence discloses that the Company's operations
are highly integrated and that the C. I. 0., the Machinists, and the
U. M. W. have organized on a plant-wide basis, it is evident that the
proposed units of the Firemen and the Operating Engineers are coin-
posed of categories of employees belonging to occupational groups
which have traditionally engaged in collective bargaining on a craft
basis. Accordingly, notwithstanding such high degree of integration,
we are of the opinion that in the absence of an effective history of
collective bargaining among the plant's production and maintenance
employees, including the firemen and engineers, the craft employees
sought by the Firemen and the Operating Engineers, respectively,
may properly constitute separate bargaining units or may be merged
in a single unit of production and maintenance employees. In these
circumstances, we shall permit the scope of the bargaining unit or
units to be determined, in part, by the results of separate elections
among the groups represented by the Firemen and the Operating
Engineers. L1
There remains for consideration the specific composition of the
voting groups.
As indicated above, there is disagreement in the two craft groups
only with respect to the powerhouse superintendent. The Operating
Engineers would include him in the voting group while the Company
seeks his exclusion; none of the other labor organizations has taken
any position on this issue. The record shows that the powerhouse
superintendent is a supervisory employee within the Board's custom-
ary definition of that term. Accordingly, we shall exclude him.
With respect to the residual group of production and maintenance
-employees, the C. I. 0., the U. M. W., the Machinists and the Company
are in disagreement regarding the following employee categories :
13 Firemen performing similar functions and duties within the city of Peoria , Illinois, are
required by municipal ordinance to be licensed.
14 See Matter of Goetz Ice Co , 61 N . L. R. B. 761 ; Matter of Castle Dome Copper Co.,
Inc., 52 N L R B 135 , Matter of Keanecott Copper Corporation , 51 N. L. R. B 1140.
KEYSTONE STEEL & WIRE COMPANY 279
office clericals, factory clericals, print shop employees, and the first-
aid and gate office employees.15 In addition, the position of one or
more of the parties is not clear as to the following employee cate-
gories : testing department employees, laboratory employees, rod test-
ers, watchmen, guards, and the time-study man. These employee
categories are discussed hereinafter.
Office clericals: The Company employs approximately 300 office
clerical employees. It would include them in a plant-wide unit,
whereas the labor organizations would exclude them. In accordance
with our policy of excluding office clericals from a production and
maintenance unit, we shall exclude them.
Factory clericals: There are approximately 36 factory clerical em-
ployees who, in the main, perform clerical work closely connected with
the production process, under the direct supervision of the foreman
of the department to which they are assigned. Some of these em-
ployees are hourly paid and on the factory pay roll and the others are
paid on a salary basis and are on the office pay roll. The Company
would include all factory clerical employees as part of the production
and maintenance unit; the C. I. O. and the Machinists would include
those clericals on the factory pay roll but exclude those on the office
pay roll; and the U. M. W. would exclude those clericals having access
to the Company's records. A company witness testified, without con-
tradiction, that none of these clerical employees has access to records
pertaining to labor relations. It is also clear that except for the dif-
ferent modes of payment between those listed on the factory pay roll
and those on the office pay roll,-° there is no difference in the duties,
nature of work, and working conditions of these employees. In ac-
cordance with our usual practice of including factory clericals in a
unit of production and maintenance workers unless the parties agree
to their. exclusion, we shall include these employees 17
Print shop employees: The Company and the Machinists would
include, while the C. I. O. and the U. Al. W. would exclude, these em-
ployees. There are approximately six employees in the print shop,
which has been operated as a separate department of the Company
for about 35 years. The shop occupies a separate room in the base-
ment of the office building. The employees set type, and operate print-
ing and mimeograph machines ; it is their function to supply the
15 All the parties agree that the following employees, who are part of the production
force, should be included in a pioduction and maintenance unit. janitors , scalehonse eno-
ploryces, in(] stoleroo,n employees We shall include them in accordance with that aglee-
mtnt In addition, in keeping with the agleenlent of all parties, we shall exclude as super-
visory employees, the following employee categories rollers, melters and yard leaders
1° We have held that in determining the appropriateness of a unit we will not distin-
guish between employees solely on the ground of the difference in mode of payment. See
Matter of D. I. Cu Pont de Nenlours of company, Inc, Rayon Division, 62 N L R B. 146;
Matter of Jones d Laughlin Steel Corporation, Pittsburgh Works, 57 N L. R B 357
11 See Matter of Rockford Screw Products Co, 62 N L R. B 1430
280 DECISIONS OF NATIONAL LABOR RELATIONS BOARD
printing requirements of the Company. They are paid on a salary
basis and are under the jurisdiction of the general production manager,
who supervises the entire operations of the Company. We find that
these employees have duties and interests different from those of the
other production and maintenance employees, and shall exclude them.
First-aid and gatehouse employees: The Company would include
and the C. 1. 0., the U. M. W., and the Machinists would exclude these
employees. First-aid and gatehouse employees are paid on a salary
basis, perform clerical work, and are under the supervision of the
office staff. ' We are of the opinion that their interests and duties
differ from those of the production and maintenance workers and we
shall, accordingly, exclude them.
Testing department employees, laboratory employees, and rod test-
ers: The C. I. 0., the U. M. W., and the Machinists would include
these employees with the production and maintenance employees.
The Company, however, took no position concerning them. These
employees cut and sort samples of rods by either chemical or physical
tests and determine whether or not the rods are a suitable product
for processing into wire. They require only a few weeks' training
and are not considered to be particularly skilled. In our opinion,
their work is similar to that of routine laboratory employees whom
we usually include in a production and maintenance unit. Accord-
ingly, we shall exclude them.
Watchmen and guards: The Company would exclude the watch-
men and guards, who are armed and some of whom are Auxiliary
Military Police. The labor organizations took no position as to these
employees. Under the circumstances, we shall exclude them.
Time-study man: The Company employs a time-study man who
performs duties analogous to those of an industrial engineer analyz-
ing and conducting studies of the Company's operations. The Com-
pany and the C. I. 0. would exclude him; the other labor organiza-,
tions took no position concerning this employee. Because this em-
ployee has interests which are distinctly dissimilar from those of
production and maintenance employees, we shall exclude him.18
At the hearing the Company requested that, if an election is di-
rected, we permit the use of mail ballots by its employees in the
armed services. The C. I. 0. opposed mail balloting, while the other
labor organizations- took no position on this matter. The circum-
stances in this case are not substantially or materially different from
those present in the Matter of South West Pennsylvania Pipe Lines.-
Accordingly, we shall grant the Company's request.
18 See Matter of Swift and Company, 6 1 N L R. B. 1624 , Matter of Aluminum Company
of America, 61 N. L. it B. 1066.
'9 64 N . L. R. B. 1384.
KEYSTONE STEEL & WIRE COMPANY 281
The Company also urged that soldiers hired by it for the first time
while on furlough, and who are given employment for as many days
as they want to work, are regular employees who should be permitted
to vote in any election the Board might direct. The C. I. O. took a
somewhat similar position, but the Machinists and the U. M. • W.
opposed the granting of any voting rights to these individuals. Al-
though the Company argued that it does not have any "temporary"
employees, we note that a witness for the Company testified that a
soldier hired under these circumstances is "treated the same as any
other applicant" if he returns after discharge from the service seeking
work. Moreover, a person in the armed forces of the United States,
who was not employed by the Company prior to induction into the
service, is not free to establish an immediate regular employment
relationship until separated from the service. Accordingly, we find
that' those persons in the armed forces of the United States, who
were not employed by the Company prior to their induction into the
service, and who were thereafter employed by the Company, while
on furlough, are not eligible to vote in the elections hereinafter
directed.
On the entire record and in accordance with the foregoing findings
,of fact, we shall direct that the questions concerning representation
which have arisen be resolved by separate elections by secret ballot
among the employees in the voting groups described in the Direction
of Elections, who were employed during the pay-roll period immedi-
ately preceding the date of the Direction of Elections herein, subject
to the limitations and additions set forth in the Direction.20 As stated
above, there will be no final determination of the appropriate unit or
units pending the results of the elections. This determination, will
in part, depend upon the choice made by the employees eligible to par-
ticipate in such elections. In this case, the Regional Director is author-
ized to mail ballots to employees within the voting groups described
in the Direction of Elections, who are on military leave, provided that
one or more of the parties, Within seven (7) days from the issuance of
the Direction of Elections, files with the Regional Director a list con-
taining the names, most recent addresses, and work classifications of
such employees. The Regional Director shall open and count the
ballots cast by mail by employees on military leave, provided that such
ballots must be returned to and received at the Regional Office within
20 We construe the position of all labor organizations in urging elections in the respective
units alleged to be appropriate as waiving any right to object to any election ordered
herein on the basis of the charges filed in 62 N. L. R. B 683. Moreover, the labor organi-
zations have not expressed a desire that the elections be postponed until compliance bas
been secured with the Board' s order in that case.
I
282 DECISIONS OF NATIONAL LABOR RELATIONS BOARD
thirty (30) days from the date they are mailed to the employees by
the Regional Director.21
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 Relations Act,
and pursuant to Article III, Section 9, of National Labor Relations
Board Rules and Regulations-Series 3, as amended, it is hereby
DIRECTED that, as part of the investigation to ascertain representa-
tives for the purposes of collective bargaining with Keystone Steel
R Wire Company, Bartonville, Illinois, separate elections by secret
ballot shall be conducted as early as possible, but not later than forty-
five (45) days from the date of this Direction, under the direction and
supervision of the Regional Director for the Thirteenth Region, acting
in this matter as agent for the National Labor Relations Board, and
subject to Article III, Sections 10 and 11, of said Rules and Regula-
tions, and to our determination above with respect to servicemen hired
for the first time while on furlough, among the following groups of
employees of the Company, who were employed during the pay-roll
period immediately preceding the date of this Direction, including
employees who did not work during said pay-roll period because they
were ill or on •vacation or temporarily laid off, and including em-
ployees in the armed forces of the United States, but excluding those
employees who have since quit or been discharged for cause and have
not been rehired or'reinstated prior to the date of the elections.
(1) To determine whether all firemen and their helpers, including
the coal and ashmen, and the maintenance man, employed in the pow-
erhouse of the Company, but excluding all or any supervisory em-
ployees with authority to hire, promote, discharge, discipline, or
otherwise effect changes in the status of employees, or effectively
recommend such action, desire to be represented by International
Brotherhood of Firemen & Oilers, A. F. L., or by United Farm Equip-
ment and Metal Workers of America, C. I. 0., or by International
Association of Machinists, Lodge No. 360, or by District 50, United
Mine Workers of America, Independent, for the purposes of collec-
tive bargaining, or by none of said organizations;
21 A free interchange between the interested parties, of information on the addresses and
work categories of the employees to be voted by mail will be necessary in order to avoid
challenges and post-election objections Accordingly, the Board will make available to all
interested parties any information of this nature furnished it by any other party In the
event that the parties should send the absentee voters any information or literature bear-
ing directly of indirectly on the pending election, copies of all such documents should be
simultaneously filed with the Regional Office for inspection by or transmittal to the other
parties However, acceptance or transmittal of such literature by the Board's office, is not
to be construed as conferring immunity on the filing party in the event that objections are
later interposed concenung its content The usual principles will apply.
KEYSTONE STEEL & WIRE COMPANY 283
(2) To determine whether all engineers and their helpers in the
powerhouse of the Company, excluding the powerhouse superintend-
ent, and all or any other supervisory employees with authority to hire,
prolnote, discharge, discipline, or otherwise effect changes in the status
of employees, or effectively recommend such action, desire to be rep-
resented by International Union of Operating Engineers, A. F. L., or
by United Farm Equipment and Metal `Yorkers of America, C. I. 0.,
or by International Association of Machinists, Lodge No. 360, or by
District 50, United Mine Workers of America, Independent, for the
purposes of collective bargaining, or by none of said organizations;
(3) To determine whether all production and maintenance em-
ployees of the Company including factory clericals, janitors, scale
house employees, storeroom employees, testing department employees,
laboratory employees; and rod testers, but excluding all employees in
the powerhouse of the Company, watchmen, guards, print shop em-
ployees, first-aid and gatehouse employees, office clerical employees,22
the time-study man, foremen, assistant foremen, and all or any other
supervisory employees 23 with authority to hire, promote, discharge,
discipline, or otherwise effect changes in the status of employees, or
effectively recommend such action, desire to be represented by United
Farm Equipment and Metal Workers of America, C. I. 0., or by In-
ternational Association of Machinists, Lodge No. 360, or by District
50, United Mine Workers of America, Independent, for the purposes
of collective bargaining, or by none of said organizations.
22 This includes private secretaries.
" This includes the heaters, rollers, welters, and yard leaders.