Magnolia Pipe Line Co.

National Labor Relations Board - Board Decisions

Apr 25, 1945

61 N.L.R.B. 723 (N.L.R.B. 1945)

In the Matter Of MAGNOLIA PIPE LINE COMPANY and OIL WORKERS
INTERNATIONAL UNION, CIO
Case No. 16-R-1130.-Decided April 25, 1945
Messrs. Roy C. Ledbetter and J. C. Fields, of Dallas, Tex., for the
Company.
Messrs. Lindsey P. Waldon and W. F. Noell, of Ft. Worth, Tex., for
the C. 1. 0.
Mr. Jeff W. Hassell, of Dallas, Tex., Mr. T. E. Lewis, of Healdton,
Okla., and Messrs. R. H. Petit, Ralph Robinson, and R. L. McKinnon,
for the Federation.
Mr. Julius G. Serot, of counsel to the Board.
DECISION
AND
DIRECTION OF ELECTION
STATEMENT Or THE CASE
Upon a petition duly filed by oil Workers International Union,
CIO, herein called the C. I. 0., alleging that a question affecting com-
merce had arisen concerning the representation of employees of
Magnolia Pipe Line Company, Dallas, Texas, herein called the Com-
pany, the National Labor Relations Board provided for an appro-
priate hearing upon due notice before Glenn L. Moller, Trial
Examiner. Said hearing was held at Dallas, Texas, on January 27,
29, and 30,1945 . The Company , the C. I..O., and Petroleum Pipe Line
Employees Federation ( Unaffiliated ) appeared and participated. All
parties were afforded full opportunity to be heard, to examine and
cross-examine witnesses , and to introduce evidence bearing on the
issues. The Trial Examiner's rulings made at the hearing are free
from prejudicial error and are hereby affirmed. All parties were
afforded an opportunity to file briefs with the Board.
Upon the entire record in the case, the Board makes the following :
FINDINGS OF FACT
1. THE BUSINESS OF THE COMPANY
Magnolia Pipe Line Company , a Texas corporation , is eng"tgecl in
the business of operating pipe lines as a common carrier of petroleum
61N L . R B., No 116
723
724 DECISIONS OF NATIONAL LABOR RELATIONS BOARD
and petroleum products, maintaining and operating pipe lines in the
States of Arkansas, Oklahoma, Louisiana, Illinois, Indiana, Ohio, and
Texas, its pipe lines crossing some of the connecting State lines. It
maintains its principal office in Dallas, Texas, and divisional or district
offices as well as pump stations, in various cities in the States enumer-
ated. During the calendar year 1943, the last year for which a record
was available at the time of the hearing, the Company's revenue
derived from transporting petroleum and petroleum products
exceeded the sum of $1,000,000, slightly more than 50 percent of that
revenue being derived from the movement of petroleum and petroleum
products from points in one State to points in another State.
The Company admits that it is engaged in commerce within the
meaning of the National Labor Relations Act.
H. THE ORGANIZATIONS INVOLVED
Oil Workers International Union, affiliated with the Congress of
Industrial Organizations, is a labor organization admitting to mem-
bership employees of the Company.
Petroleum Pipe Line Employees Federation (Unaffiliated), is a
labor organization admitting to membership employees of the Com-
pany.
III. THE QUESTION CONCERNING REPRESENTATION
On October 2, 1944, the C. I. O. addressed a letter to the Company
requesting recognition as the exclusive bargaining representative of
certain of the Company's employees. The Company refused to grant
such recognition.
A statement of a Board agent, introduced into evidence at the hear-
ing, indicates that the C. I. O. represents a substantial number of
employees in the unit hereinafter found appropriate.'
We find that a question affecting commerce has 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.
IV. THE APPROPRIATE UNIT
The C. I. O. seeks a unit comprising all operating and maintenance
employees 2 of the Company on a system-wide basis, excluding, inter
alia, supervisory, managerial, professional, and administrative em-
I The Field Examiner reported that the C. I. 0 submitted 406 authorization cards,
dated between May 1944 and January 1945 , 351 of which bore apparently genuine original
signatures of persons listed on the Company ' s pay roll for the period ending November
15, 1944. The pav roll contained the names of 931 employees in the unit which the C. I. O.
alleges to be appropriate
The Federation relies upon its contract to show its interest in these proceedings
2 The parties apparently intend this description to include construction workers,
MAGNOLIA PIPE LINE COMPANY 725
ployees, and the other parties are in general agreement. Geographi-
cally, this unit represents an enlargement of a unit heretofore
represented by the Federation, which was established pursuant to
a cross-check conducted by the Regional Director for the Sixteenth
Region in September 1941, that unit having been confined to the States
of Arkansas, Louisiana, Texas, and Oklahoma. The unit presently
desired includes, in addition to those States, the facilities in the States
of Illinois, Indiana, and Ohio, subsequently acquired by the Com-
pany. We find that the. scope and general composition of the pro-
posed unit are appropriate.
In accordance with the agreement of all parties, we shall exclude
those employees within the categories listed in Appendix "A", hereto
attached, as supervisory employees; those employees within the
categories listed in Appendix "B", also hereto attached, as pro-
fessional employees; private secretaries as confidential employees;
scouts, claim adjustors, and timekeepers, as administrative employees.
The parties have also stipulated to exclude the warehouseman, and
since the record indicates that he exercises supervisory authority, we
shall exclude him from the appropriate unit. The record indicates
that the Company's dope inspectors, field inspectors, and welding
inspectors, while not supervisory employees in the strict sense, have
authority to remove employees from their jobs and that their recom-
mendations with reference to discharge or promotion would be con-
sidered by the Company. The parties have, therefore, agreed to
exclude these categories, and we shall so direct.
At the hearing there was disagreement with respect to the proper
classification of employees in the categories hereinafter discussed, the
parties having agreed to include all other employees not specifically
excluded. All of the employees in question who are employed in the
States of Arkansas, Louisiana, Texas, and Oklahoma (except the
clerks and stenographers in the main office at Dallas, Texas), have
been included in the unit heretofore represented by the Federation,
either by express provision in the cross-check agreement, or by the
understanding and practice of the parties.3
Disputed categories
District gaugers: The Company and the Federation would include
the district gaugers; the C. I. O. would exclude them on the ground
7 The cross -check agreement , and the bargaining contract between the Company and
the Federation which was in effect until December 9, 1944, delineate the unit as :
[All persons employed by the Company] actually engaged in the operation and
maintenance of pipe lines , pump stations , and crude oil gathering systems, including
pump station personnel , telegraph and telephone operators , construction and main-
tenance employees , including field clerical personnel employees in non -supervisory
capacities , but excluding all supervisory employees , including the States of Arkansas.
Louisiana , Texas, and Oklahoma.
726 DECISIONS OF NATIONAL LABOR RELATIONS BOARD
that they are administrative (mainly because they do not receive pay-
ment for all overtime work) or supervisory. The record does not
support the C. I. O.'s contention. These employees measure 'the pro-
ducers' storage tanks, measure and test the oil in those tanks, and
operate the tank valves to permit the oil to flow into the pipe lines
from the tanks, or to stop such flow. They exercise no supervisory
authority over any of the other employees 4 They have no authority to
purchase oil and have no discretion as to the quality of oil which they
may permit to flow into the pipe lines but are guided by specific,
written instructions. The Company's delivery gaugers, gasoline
gaugers and inspectors, and assistant district gaugers, all of whom
are included in the unit by stipulation, perform substantially the same
work as that done by district gaugers except that the area covered by
the former is smaller in extent, permitting of more regular hours and
therefore entitling them to full overtime pay.. Apparently because
of the larger territory covered by district gaugers and the greater
volume of work performed, making their hours less regular, they
receive a greater salary and only a limited amount of overtime pay.
Under the circumstances of this case we do not deem the discrepancies
between the salaries and overtime pay of district gaugers and those of
the other gaugers of such significance as to require the exclusion of
the district gaugers from the unit. We find that they are neither
administrative nor supervisory employees, and shall include them in
the appropriate unit.5
Dispatchers and assistant dispatchers : Both unions would- include
these employees, while the Company would exclude them on the
ground that they are confidential or clerical employees.6 Situated in
the main office at Dallas, Texas, and in an Indiana district office,
they control and direct the movement of oil throughout the pipe lines,
keeping in constant communication with the pump stations and other
offices by telephone, or by telegraph which they operate themselves.
The normal performance of their duties does not afford access to
messages concerning confidential information relating to labor rela-
tions, and, therefore, they cannot be considered confidential employees.'
Nor are they clerical employees. Although they work in an office,
their directions flow to every field station, where the employees open
4 The C. I 0 introduced evidence to show that several of the district gaugers attended
or taught at a school conducted for supervisory employees The testimony revealed,
however, that not only were assistant district gaugers (who, it is agreed, are not super-
visory employees) present at the school, but that the Company directed the district gaugers
to cease attending the school when it learned of such attendance. The district gaugers
who taught there were chosen because of their education rather than because of their
position with the Company.
G See Matter of Texas Pipeline Company, 55 N. L. R B. 239, 242 ; Matter of War Emer-
gency Ptipelines, Inc., 59 N. L. R. B. 449.
0In our discussion of dispatchers, telegraph operators and kindred employees, we do
not rule upon the Company's general objection to the inclusion of clerical employees.
T See Matter of War Emergency Pipelines, Inc., footnote 4, supra.
MAGNOLIA PIPE LINE COMPANY 727
and close the lines in accordance with the instructions sent by these
dispatchers or assistant dispatchers. Their work is essential to the
operation of the pipe line systems and we consider them operational
employees. Under all the circumstances disclosed by the record
herein, we shall include the dispatchers and assistant dispatchers in
the appropriate unit.
Telegraph operators : Telegraph operators work in the Dallas office
and in various field offices or pump stations. The Dallas operators
devote their entire time to sending or receiving messages. The field
operators not only send and receive messages but also make hourly
recordings on a stock sheet of the gaugings and the amount of oil
pumped through their stations or through other stations which report
to the particular station in which the operator is employed. Some of
the field operators also act as gaugers and are known as operator-
gaugers. Apparently because their work does not consume the entire
day, many of the field operators perform a host of other duties, some
assisting the officer-in-charge of their particular station or office in a
clerical capacity, others even doing janitorial work. Telegraph opera-
tors were specifically included in the unit established by the cross-
check agreement.
Both unions would include all telegraph operators, whereas the,
Company would exclude them on the ground that they are confidential
and clerical employees. The Company contends that since they send
and receive messages over telegraph wires, they are in a position to
obtain confidential information relating to labor relations. The rec-
ord does not support this contention. The duties of the telegraph
operators are not directly related to the receipt. and transmission of
messages concerning such matters," and, moreover, the record reveals
that certain messages are sent in code which the operators cannot
decipher.
It is our opinion that the keeping of stock records and the tallying
of hourly readings and gaugings of the various stations on their lines
do not place operators within the category of clerical employees, for
such work is obviously as much a part of their telegraphic duties as
is the writing or typing of a message by a commercial telegraph
operator. Nor, regardless of the amount of time devoted thereto, do
we consider of any significance the fact that many of the operators
perform other, typically clerical, duties. Their primary function is
that of operating telegraphic equipment. Communication is of the
essence of a pipe-line system. The amount of oil on hand or flowing
through a station, the amount of oil to be pumped, the pressure, the
temperature, a break in the line, all are facts which must be known
by those whose duty it is to keep the oil flowing. That such informa-
8 See Matter of General Cable Corporation , 55 N. L. R. B. 1143, 1146.
728 DECISIONS OF NATIONAL LABOR RELATIONS BOARD
a
tion is essential and that it must be communicated swiftly is recog-
nized by the necessity of establishing and operating private telegraph
lines. This information, and the messages from one employee to
another, the reports of shipments of materials as well as of oil, the
reports and directions from governmental agencies, are vital to the
actual operation of the pipe lines. Thus, such operation depends
upon the skill and efficiency of the telegraph operators. They are
the links which, bind together the Company's far-flung systems and
they possess unique skill and experience. Their community of interest
with the other employees engaged in operation and maintenance is
further indicated by the fact that they have been included in the same
bargaining unit since 1941. We find them to be operational employees
and shall include them in the unit.9
Assistant wire chiefs: Both unions would include this category,
whereas the Company would exclude it on the ground that the assistant
wire chiefs are confidential, employees. They divide their time between
acting as telegraph operators and, if trouble develops on the telegraph
wires, as line testers. They are no more confidential employees than
the ordinary telegraph operators whom we have included, and we
shall, therefore, include assistant wire chiefs in the appropriate unit.
Telephone operators and PBX operators: The C. I. O. and the
Company would exclude these employees, the Company apparently on
the ground that they are confidential employees, whereas the Federa-
tion would include them. The record indicates that their only duty is
that of operating switchboards. For the reasons set forth in our dis-
cussion of dispatchers and telegraph operators, we do not consider
them to be confidential employees, and we shall include them in the
appropriate unit .10
Clerical employees: There are various classifications of clerical em-
ployees : administrative clerks, clerks, stenograpliers, and comptometer
operators. The administrative clerks work in the main office and in
the Oklahoma City and Houston divisional offices. They have access
to confidential records pertaining to labor relations and are clearly
confidential employees. All parties have agreed to, and we shall,
exclude them.
9 Cf Matter of War Emergency Pipelines, Inc, 58 N. L R B. 798, Matter of Gulf
Refining Company, Houston Pipe Line Du.istion, 59 N L R. B 1483 In each of the
cited cases, where clerical employees were excluded from the unit, we found, upon the
basis of the record then before us, that certain telegraph operators were essentially clerical
employees and. accordingly. excluded them
10 Another telephone category mentioned is that of special telephone worker The
record is not clear as to this category, at one point indicating that such employee is a
highly paid telephone construction and maintenance man and, at another point, Indicat-
ing that the category was created expressly to afford reemployment to a former employee
who had been discharged from the Army partially disabled, that he had left the Company's
employ and that the category as therefore no longer in existence. We shall not rule
specifically upon the inclusion or exclusion of this category.
MAGNOLIA PIPE LINE COMPANY 729
The Company's 10 other clerks perform general office work-typing,
filing, stenographic work, drawing of reports, etc. Three of the 10
work in the Dallas office, 1 works in the Houston divisional office, 1 at
a pump station, and the remaining 5 are equally divided among 5 dis-
trict offices. The Company would exclude all clerks, the C. I. O. all but
the one in the pump station, and the Federation would include the field
office clerk.i, but not the clerks in the Dallas office."
The record reveals that the work of all clerks classified as such, both
field and main office, is identical. There is some indication that the
main office clerks have duties in addition to those of the field clerks but
those duties are not revealed. None of the clerks is engaged in any
confidential work. Much of their work is similar to work done by the
telegraph operators whom we have held to be operational employees.
Thus, one of the three main office clerks works in the same room with
the main office telegraph operators, acting as their messenger, receiv-
ing telephone messages to be sent out over the telegraph wires, and
operating the teletype machine. The telegraph operators relieve him
in the operation of the teletype machine whenever he is away. One of
the field clerks devotes half of his work-week to acting as a clerk in
a field office, and works as a pump station telegraph operator the other
half of his time. At least some of the clerks, therefore, come into daily
contact with the ordinary production, operational, or maintenance
employees. It appears that the field clerks are similar to factory cleri-
cals whom we have included in previous units., As to the main office
clerks, there is nothing to distinguish them from the field clerks. The
record indicates that the main office at Dallas, Texas, is more than an
administrative office, many of the employees there being engaged in the
actual operation of the pipe-line systems. The ordinarily clear line
of demarcation between field and administrative operations is not
present. We shall, therefore, include all clerks classified as such, both
field and main office.
Insofar as the stenographers are concerned, the parties take the
same position as they do with reference to the clerks. The testimony
shows that these employees, working in the main and district offices,
although classified as stenographers, exercise the same duties as do the
clerks whom we have included. We shall, therefore, include stenog-
raphers, both field and main office, in the appropriate unit.
The Company apparently employs one comptometer operator, al-
though the record suggests that this position may be vacant. The C.
I. O. and the Company take the same position with reference to this
category as they do with reference to clerks. Although the Fed-
"The only apparent -reason for the Federation's desire to exclude the main office clerks
from the new unit is the fact that they are excluded from the unit now represented by
the Federation , whereas the field clerks are included in such unit.
12 See Matter of Goodman Manufacturing Company, 58 N. L R . B. 531.
730 DECISIONS OF NATIONAL LABOR RELATIONS BOARD
eration has no objection to the exclusion of this classification, we find
no justification for differentiating comptometer operators from the
clerical staff and we shall, therefore, include employees in this category
in the appropriate unit.
Instrument man: This employee is the member of a surveying party
who operates the surveying instruments. The Federation asks that he
be included in the unit, the Company and the C. I. 0. that he be ex-
cluded. Although the Company does not require that he be a fully
qualified engineer or surveyor, he is usually a graduate engineer or a
man of college, or at least of highly technical, training, and we shall,
therefore, exclude him from the unit.
Material man: The Company and the C. I. 0. would exclude this
employee; the Federation seeks his inclusion. It is his function to see
that materials are available where and when they are needed. He
has limited authority to purchase materials, but only in case of emer-
gency. We shall include him in the unit.
Watchmen: The Federation requests that watchmen be included in
the unit; the C. 1. 0. desires their exclusion; the Company's position
is not indicated. All are former production employees no longer able
to perform strenuous work. In at least one place the watchman
occasionally runs the Company's machinery to keep it in condition.
We shall include them in the unit.
Janitor: The Company employs a janitor at its Dallas, Texas,
office. Since, as we have said, this office is an operational as well as an
administrative office, we shall include the janitor in the appropriate
unit.
We find that all operation and maintenance employees of the Com-
pany's pipe lines, pump stations, gasoline and crude oil gathering
systems, including district gaugers, assistant district gaugers, oper-
ator-gaugers, gasoline gaugers and inspectors, main office clerks, divi-
sional office clerks, district office clerks, pump station clerks, main
office and field stenographers, dispatchers and assistant dispatchers,
telegraph operators, telephone and PBX operators, assistant wire
chiefs, watchmen, the material man, and the janitor, but excluding
dope inspectors, field inspectors, welding inspectors, administrative
clerks, private secretaries, scouts, claim adjusters, timekeepers, the
warehouseman, the instrument man, the employees listed in Appen-
dices "A" and "B", attached hereto, professional employees, and all
supervisory employees with authority to hire, promote, discharge,
discipline, or otherwise effect changes in the status of employees, or
effectively recommend such action, constitute a unit appropriate for the
purposes of collective bargaining, within the meaning of Section 9 (b)
of the Act.
MAGNOLIA PIPE LINE COMPANY
V. THE DETERMINATION OF REPRESENTATIVES
731
We shall direct that the question concerning representation which
has arisen be resolved by an election by secret ballot among the em-
ployees in the appropriate unit who were employed during the pay-roll
period immediately preceding the date of the Direction of Election
herein, subject to the limitations and additions set forth in the
Direction.
The Company employs an unstated number of employees classified
as office helpers, temporary, others classified as special telephone oper-
ators, and still others classified as PBX operators-temporary. Al-
though the record indicates that some of the employees within these
classifications may in fact be probationary employees who will occupy
permanent positions if their work proves satisfactory, all are classified
as temporary employees. There is no indication as to which or how
many of them actually enjoy such expectancy of permanent employ-
ment as would entitle them to participate in the election. We shall.
exclude temporary employees from the classifications of employees
eligible to vote in the election.
At the hearing, the Company moved for a direction that ballots be
mailed to employees in the armed forces of the United States. In
accordance with our established policy, we hereby deny this motion.l"
Inasmuch as the pipe-line systems extend over seven States, with
employees scattered at various points throughout those States, the
usual method of polling the employees may be a difficult task. In
accordance with our customary practice, the Regional Director may
conduct the balloting in whole or in part by mail if such procedure is
deemed by him to be expedient.
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 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 Magnolia Pipe
Line Company, Dallas, Texas, an election by secret ballot shall be
conducted as early as possible, but not later than thirty (30) days
from the date of this Direction, under the direction and supervision of
the Regional Director for the Sixteenth Region, acting in this matter
as agent for the National Labor Relations Board, and subject to Arti-
cle III, Sections 10 and 11, of said Rules and Regulations, among the
13 See Matter of The Cincinnati Gas and Electric Company, 57 N L. R B. 1298 ; Matter
of Mine Safety Appliances Co., Callery Plant , Callery, Pennsylvania, 55 N L . R. B. 1190.
732 DECISIONS OF NATIONAL LABOR RELATIONS, BOARD
employees in the unit found appropriate in Section IV, above, 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 employees in the armed forces of the United
States who present themselves in person at the polls, but excluding
temporary employees, and those employees who have since quit or
been discharged for cause and have not been rehired or reinstated prior
to the date of the election, to determine whether they desire to be
represented by Oil Workers International Union, CIO, or by Petro-
leum Pipe Line Employees Federation (Unaffiliated), for the pur-
poses of collective bargaining, or by neither.
CHAIRMAN MILLIS took no part in the consideration of the above
Decision and Direction of Election.
APPENDIX A
Occupation
Code No. Classification
101 Vice President & General
Manager
102 Assistant Treasurer and
Chief Clerk
103 Assistant Manager
104 Gen'l. Superintendent of Tel.
& Tel. Dep't.
106 Chief Clerk
107 Ass't. Sup't. of Tel. & Tel.
Department
109 Wire Chief
114 Chief Engineer of Mechani-
cal Department
115 Corrosion Engineer & Supt.
of Butane and Gasoline
Sys.
118 District Foreman
119 Chief Gauger
120 General Foreman
121 Claim Adjuster
122 Ass't. Chief Dispatcher
125 Chief Telegraph Operator
127 Chief Telephone Operator
131 Shop Foreman
132 Machinist Foreman
134 Operating Chief Dispatcher
Occupation
Code No. Classification
138 Superintendent of Tel. & Tel.
Dept.
139 Superintendent of Right of
Way Dep't.
140, Maintenance Superintend-
ent
141 Assistant Maintenance Su-
perintendent
142 Superintendent of Gaugers
143 Division Superintendent
144 District Superintendent
145 Superintendent of Welders
146 Superintendent, Assistant
District
148 General Superintendent
636 F o r e ma n, Butane-Gaso
Gauging
654 Foreman, Gasoline-Butane
System
655 Foreman, Maintenance of
Gasoline Lines
765 Engineer Field-Chief of
Party
656 Engineer, Main Line Chief
Engineer, Main Line Assist-
ant Chief
MAGNOLIA PIPE LINE COMPANY 733
Occupation
Code No. Classification
Occupation
Code No. Classification
690 Engineer, Chief Field 082 Foreman, Welder
657 Foreman, Carpenter 633 Gauger, Chief Delivery
658 Foreman, Concrete 703 Electrical Supervisor
659 Foreman, Construction 706 Foreman Construction
652 Foreman, Assistant
struction
Con- 192 Foreman Construction As-
sistant
669 Foreman, Machinist 708 Foreman Shop
APPENDIX B
111 Chief Dispatcher 124 Assistant Mechanical Engi-
112 Mechanical Engineer neer
113 Chief Engineer "A" 149 Civil Engineer
116 Electrical Engineer 312 Draftsman
117 Telephone and Telegraph
Engineer
705 Equipment Engineer
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