Louis Shoe Co., Inc.

National Labor Relations Board - Board Decisions

Nov 30, 1939

17 N.L.R.B. 1065 (N.L.R.B. 1939)

In the Matter of Louis SHOE CO., INC. and UNITED SHOE WORKERS OF
AMERICA, AFFILIATED WITH THE CONGRESS OF INDUSTRIAL ORGANIZA-
TIONS
Case No. C-1079.-Decided November 30, 1939
Shoe Maaaufactering Industry-Settlement : stipulation providing for com-
pliance with the Act, including withdrawal of recognition from and disestab-
lishment of company-dominated union, disaflirmance of collective agreement
with company-dominated union, and back pay for one employee discriminatorily
discharged-Order: entered in stipulation.
Mr. Benjamin E. Gordon, for the Board.
Mr. George Karelita, of Haverhill, Mass., for the respondent.
Mr. Clyde R. Mitchell, of Lynn, Mass., for the Union.
Mr. Martin F. Connelly, of Amesbury, Mass., for the Association.
M. Roman Beck, of counsel to the Board.
DECISION
AND
ORDER
STATEMENT OF THE CASE
Upon charges, and amended and supplemental charges, 'duly filed
by United Shoo Workers of America, herein called the Union, the
National Labor Relations Board, herein called the Board, by its
Regional Director for the First Region (Boston, Massachusetts),
issued its complaint dated January 6, 1939, against Louis Shoe Co.,
Inc., Amesbury, Massachusetts, herein called the respondent, alleging
that the respondent had engaged in and was engaging in. unfair
labor practices affecting commerce, within the meaning of Section
8 (1), (2), and (3) and Section 2 (6) and (7) of the National Labor
Relations Act, 49 Stat. 449, herein called the Act. Copies of the
complaint, accompanied by a notice of hearing, were duly served upon
the respondent, upon the Union, and upon Amesbury Shoe Workers
Independent Association, Inc., herein called the Association, a labor
organization alleged to be dominated and supported by the
respondent.
The complaint alleged, in substance (a) that on or about November
1, 1936, and at various times thereafter, the respondent by its officers,
17 N. L. R. B., No. 106.
1065
1066 DECISIONS OF NATIONAL LABOR RELATIONS BOARD
agents, and employees formed the Association, dominated and inter-
fered with its administration, and contributed financial and other
support to the Association; (b) that on or about March 1, 1938, the
respondent entered into an agreement with the Association as the
exclusive bargaining representative of the respondent's employees at
its plant in Amesbury, Massachusetts; (c) that the respondent termi-
nated the employment of four persons 1 and refused to reinstate them
to their employment, for the reason that they were members of and
active in behalf of the Union, and engaged in concerted activities with
other employees for their mutual aid and protection; (d) that the
respondent interfered with, restrained, and coerced its employees in
the exercise of the rights guaranteed in Section 7 of the Act by the
foregoing acts, and by spying upon union meetings, and causing them
to be placed under surveillance, by attempting to discourage its em-
ployees from engaging in union organization, and by other acts. On
January 11, 1939, the respondent filed an answer to the complaint
in which it admitted the Board's jurisdiction of the subject matter,
but denied that it had engaged in the alleged unfair labor practices.
Pursuant to notice a hearing was held at Amesbury, Massachusetts,
from February 27 to March 10, 1939, before Mapes Davidson, the
Trial Examiner duly designated by the Board. At the beginning
of the hearing the Trial Examiner granted a written motion of the
Association to intervene. The Board, the respondent, and the Asso-
ciation were represented by counsel; the Union by its representative,
and.all_participated in the hearing. All parties were afforded full
opportunity to be heard, to examine and cross-examine witnesses,
and to introduce evidence bearing upon the issues. The Trial Exam-
iner made various rulings upon motions and on objections to the
admission of evidence. In view of the stipulation and agreement of
the parties, hereinafter mentioned, we need not review these rulings.
On May 8, 1939, the Trial Examiner filed his Intermediate Report,
copies of 'which were duly served upon the respondent, upon the
Union, and upon the Association, in which he found that the re-
spondent had engaged in unfair labor practices affecting commerce
within the meaning of Section 8 (1), (2), and (3) and Section 2 (6)
and. (7) of the Act, and recommended that the respondent cease and
desist from its unfair labor practices and that it take certainraffirma-
t.ive action to remedy the situation brought about by the unfair labor
practices, including the reinstatement with back pay of the four
employees alleged to have been discriminatorily discharged, the with-
drawal by the respondent of recognition from the Association, and
the disaffirmance by the respondent of a collective agreement with
1 The names of these employees are Louis Rollins, Bachedoor Tatosian, Steve Yurkavich,
and Victor Biladeau.
LOUIS SHOE COMPANY, INC. 1067
the Association as the bargaining representative of the respondent's
employees. On May 18, 1939, the respondent, and on May 19, 1939,
the Association,- filed exceptions to the Intermediate Report-
Thereafter,ft r, the respondent, the Association, and counsel for the
Board entered into a stipulation and agreement in settlement of case
subject to and effective immediately upon approval of the Board.
The stipulation and agreement was approved by the Union. It
provided as follows :
Charges having been filed with A. Howard Myers, Regional
Director of the National Labor Relations Board for the First
Region by the United Shoe Workers of America, Affiliated with
the C. I. O. on. August 19, 1938 and amended on October 17,
1938, alleging that the Respondent, Louis Shoe Co. Inc. had
violated Section 8 (1), (2) and (3) of the National Labor Rela-
tions Act, 49 Stat. 449; a complaint having been issued and
served on January 6, 1939; a hearing having been held before a
duly authorized agent of the National Labor Relations Board
at Amesbury, Massachusetts from February 27 to March 10,
1939; an Intermediate Report having been issued and served on
May 6, 1939; and it being the intention of the parties to dispose
of the matters which have arisen,
It is hereby stipulated and agreed by and between Louis Shoe
Company, Inc. by its Attorney and Jacob Blum, Attorney,
National Labor Relations Board as follows :
I. Louis Shoe Company, Inc. is incorporated in the Common-
wealth of Massachusetts and is engaged in the manufacture
and distribution of shoes. It has its principal office and plant
in the City of Amesbury, Commonwealth of Massachusetts.
Fifty per cent (50%) of the raw materials used by the
Respondent in the manufacture of its shoes is shipped to the
factory at Amesbury, Massachusetts from points outside of the
Commonwealth of Massachusetts. The sales of the Respondent
in 1938 and early in 1939 amounted to about $770,000. During
the same period the Respondent manufactured 612,000 pairs of
shoes. About ninety-five per cent (950% of the Respondent's
finished product is shipped from the factory at Amesbury
to various designations outside of the Commonwealth of
Massachusetts.
Louis Shoe Company,-Inc. admits that it is engaged in inter-
state commerce within the meaning of Section 2 (6) and (7) of
the National Labor Relations Act, 49 Stat. 449.
. II. The Respondent, Louis Shoe Company, Inc. waives all
further or other procedure provided by the National Labor
Relations Act and the Rules and Regulations of the National
1068 DECISIONS OF NATIONAL LABOR RELATIONS BOARD
Labor Relations Board, including the making of Findings .of
Fact and Conclusion of Law.
III. Upon the basis of the facts stipulated in Paragraph I
above, the Pleadings heretofore filed, the Record, the Inter-
mediate Report, this Stipulation and by agreement of the
parties hereto, the National Labor Relations Board may enter
its Order in the following form in the above-entitled case :
ORDER
On the basis of this Stipulation and pursuant to Section 10 (c)
of the National Labor Relations Act, the National Labor Rela-
tions Board hereby orders that Louis Shoe Company, Inc., its
officers, agents, successors and assigns shall:
1. Cease and desist :
(a) from in any manner interfering with, restraining or coerc-
ing its employees in the exercise of their rights to self 2organiza-
tion, to form, join or assist labor organizations, to bargain
collectively through representatives of their own choosing and
to engage in concerted activities for. the purposes of collective
bargaining or other mutual aid or protection as guaranteed in
Section 7 of the National Labor Relations Act;
(b) from discouraging membership in the United Shoe Work-
ers of America, Affiliated with the C. I. O. by discharging or
refusing to reinstate any of its employees or in any other manner
discriminating in regard to their hire or tenure of employment or
any term or condition of their employment.
(c) from dominating or interfering with the administration of
the Amesbury Shoe Workers Independent Association, Inc., its
successors or assigns, or any labor organization, and from con-
tributing financial or other support, to said Amesbury Shoe
Workers Independent Association, Inc., or any other labor or-
ganization.
2. Take the following affirmative action which the Board finds
will effectuate the policies of the Act:
(a) make whole Louis Rollins for any loss of pay he may have
suffered by reason of the Respondent's discrimination in regard
to his hire or tenure of employment by payment to him of the
sum of Twenty-five Dollars ($25.00).
(b) withdraw all recognition from the Amesbury Shoe Work-
ers Independent Association, Inc., its successors or assigns, as
representative of its employees for the purpose of dealing with
the Respondent concerning grievances, labor disputes, wages,
rates of pay, hours of employment and other conditions of em-
LOUIS SHOE COMPANY, INC. 1069
ployment and completely disestablish the Amesbury Shoe Work=
ers Independent Association, Inc. and its successors or assigns, as
such representative;
(c) post immediately in conspicuous places in its factory at
Amesbury, Massachusetts and maintain for a period of at least
sixty (60) consecutive days, notice to its employees stating:
1. that the Respondent will cease and desist in the matter
aforesaid ;
2. that the Respondent has withdrawn all recognition from the
Amesbury Shoe Workers Independent Association, Inc. its suc-
cessors or assigns, as the representative of the Respondent's em-
ployees for the purpose of dealing with the Respondent concern-
ing grievances, labor disputes, wages, rates of pay, hours of
employment or other conditions of employment and that said
association is completely disestablished as said representative and
3. that the contract between the Respondent and the Amesbury
Shoo Workers Independent Association, Inc., its successors or
assigns, is null and void and of no legal effect whatsoever and
(d) notify the Regional Director for the First Region in
writing within ten (10) days of the date of this Order what
steps Respondent has taken to comply herewith.
And it is hereby ordered that the cases of all persons men-
tioned in the above charge 2 and not herein reinstated or made
whole for loss of pay shall be dismissed.
IV. It is the understanding of the parties that in carrying out
Section 2 (b) of the above Order that the provisions of that
section of the said Order shall not be effective until ten (10)
days after the Decree of the Circuit Court of Appeals, herein-
after provided for, has been signed by said Circuit Court of
Appeals.
V. The Respondent, Louis Shoe Company, Inc. hereby con-
sents to the entry by the United States Circuit Court of Appeals
for the Appropriate Circuit, upon application by the Board, of
a Consent Decree enforcing an Order of the Board in the form
hereinabove set forth and hereby waives further notice of the
application for said Decree.
VI. The entire agreement is contained within the terms of
this Stipulation and there is no verbal agreement of any kind
which varies, alters or adds to the Stipulation.
VII. It is understood and agreed that this Stipulation is sub-
ject to the approval of the National Labor Relations Board and
shall become effective, immediately upon granting such approval.
z We construe the word "charge" to refer to the charges upon which the complaint issued.
1070 DECISIONS OF NATIONAL LABOR RELATIONS BOARD
On November 16, 1939, the Board issued its Order approving the
above stipulation and agreement and making it a part of the record
herein.
Upon the basis of the above stipulation and agreement, and upon
the entire record in the case, the Board makes the following :
FINDINGS Or FACT
I. THE BUSINESS OF THE RESPONDENT
The respondent, Louis Shoe Co., Inc., a Massachusetts corpora-
tion, having its principal office and manufacturing plant in Ames-
bury, Massachusetts, is engaged in the manufacture and distribution
of shoes. In the manufacture of its shoes the respondent causes
approximately 50 per cent of the materials which it uses, consisting
of leather, shanks, heels, counters, box toes, lacings, eyelets, cement,
and various other materials, to be purchased in States of the United
-States other thaii the Commonwealth of Massachusetts,, and..trans-
ported in interstate commerce to the respondent's plant at Amesbury
from States of the United States other than Massachusetts. The
respondent causes approximately 95 per cent of the shoes which it
manufactures to be transported in interstate commerce from its
Amesbury plant to destinations outside the Commonwealth of Mas-
sachusetts. During 1938 and .the early part of 1939 the sales of the
respondent's finished products amounted to approximately $770,000.
During that period it manufactured approximately 612,000 pairs of
shoes. The respondent admits that it is engaged in interstate com-
merce, within the meaning of Section 2 (6) and (7) of the Act.
We find that the activities of the respondent set forth above consti-
tute a continuous flow of trade, traffic, and commerce among the
several States.
H. THE ORGANIZATIONS INVOLVED
United Shoe Workers of America, chartered by the Congress of
Industrial Organizations, a labor organization, and Amesbury Shoe
Workers Independent Association, Inc., are labor organizations, with-
in the meaning of Section 2 (5) of the Act.
ORDER
Upon the basis of the above findings of fact, the stipulation and
agreement, and the entire record in the case, and pursuant to Section
10 (c) of the National Labor Relations Act, the National Labor Rela-
tions Board hereby orders that the respondent, Louis Shoe Co., Inc.,
Amesbury, Massachusetts, and its officers, agents, successors, and
assigns shall :
LOUIS SHOE COMPANY, INC. 107 1
1. Cease >;and desist :
(a) From in any manner interfering with, restraining , or coercing
its 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 and to engage in con-
certed activities for the purposes of collective bargaining . or other
mutual aid or protection as guaranteed in Section 7 of the National
Labor Relations Act ;
(b) From discouraging membership in United Shoe Workers of
America;'affiliated with the Congress 'of Industrial- Organizations, by
discharging or refusing to reinstate any of its employees or in any
other manner discriminating in regard to their hire or tenure of em-
ployment or any term or condition of their employment;
(c) From dominating or interfering with the administration of
Amesbury Shoe Workers Independent Association , Inc., its succes-
sors or assigns , or any other labor organization of its employees, and
from contributing financial or other support to said Amesbury'Shoe`
Workers Independent Association , Inc., or any other labor organiza-
tion.
2. Take the following affirmative action, which the Board finds
will effectuate the policies of the Act :
(a) Make whole Louis Rollins for any Joss of pay he may have suf-
fered by reason of the respondent's discrimination in regard to his
hire or tenure of employment by payment to him of the sum of
twenty-five dollars;
(b) Withdraw all recognition from Amesbury'Shoe Workers Inde-
pendent,,alAssociation, -Inc.,•-its successors - or assigns ; as representative
of its employees for the purpose of dealing with the respondent con-
cerning grievances, labor disputes , wages, rates of pay, hours of
employment , and other conditions of employment and completely dis-
establish Amesbury Shoe Workers Independent Association , Inc., and
its successors or assigns , as such representative; .
(c) Post immediately in conspicuous places in its plant at Ames-
bury, Massachusetts , and maintain for a period of at least sixty (60)
consecutive days, notices to its employees stating ( 1) that the re-
spondent will cease and desist in the manner aforesaid ; ( 2) that the
respondent has withdrawn all recognition from Amesbury Shoe
Workers Independent Association , Inc., its successors or assigns, as
the- representative of the respondent 's employees for the purpose of
dealing with the respondent concerning grievances , labor disputes,
wages, rates of pay, hours of employment , or other conditions of
employment , and that said Association is completely disestablished as
said representative; and (3 ) that the contract between the respondent
1072 DECISIONS OF NATIONAL LABOR RELATIONS BOARD
and Amesbury Shoe Workers Independent Association, Inc., its suc-
cessors or. assigns, is null and void and of no legal effect :whatsoever;
(d) Notify the Regional Director for the First Region in writing
within ten (10) days from the date of this Order what steps the
respondent has taken to comply herewith.
AND IT IS FURTHER ORDERED that the complaint, in so far as it al-
leges that the respondent discriminatorily terminated the employment
of Kachedoor Tatosian, Steve Yurkavich, and Victor Biladeau, be,
and the same hereby is, dismissed.