Michigan Gas and Electric Co.

National Labor Relations Board - Board Decisions

Jul 20, 1945

62 N.L.R.B. 1373 (N.L.R.B. 1945)

In the Matter of MICHIGAN GAS AND ELECTRIC COMPANY and UNITED
STEELWORKERS OF AMERICA, CIO
Case No. 18-R-1244.-Decided July 20, 1945
Mr. William F. Pellow, of Bessemer , Mich., and Mr. G. A. Donald, of
Ashland, Wis., for the Company.
Messrs. Joseph F. Pascoe and Jack Powell, of Negaunee , Mich., for
the Union.
Mr. Philip Licari, of counsel to the Board.
DECISION
AND
DIRECTION OF ELECTION
STATEMENT OF THE CASE
Upon a petition duly filed by United Steelworkers of America, CIO,
herein called the Union, alleging that a question affecting commerce had
arisen concerning representation of employees of Michigan Gas and Elec-
tric Company, Ashland, Wisconsin, herein called the Company, the Na-
tional Labor Relations Board provided for an appropriate hearing upon
due notice before Clarence A. Meter, Trial Examiner. Said hearing was
held at Marquette, Michigan, on May 11, 1945. The Company and the
Union 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. v
Upon the entire record in the case, the Board makes the following :
FINDINGS OF FACT
1. THE BUSINESS OF THE COMPANY
Michigan Gas and Electric Company, a Michigan public utility corpora-
tion with its principal office at Ashland, Wisconsin, is engaged in the State
of Michigan in the production, purchase, transmission, distribution, and
62 N. L. R. B., No. 186.
1373
1374 DECISIONS OF NATIONAL LABOR RELATIONS BOARD
sale of electric energy and fuel gas for domestic, commercial, and industrial
purposes. The Company operates in two separate geographical areas in the
State of Michigan. The northern area is operated by the Company's North-
ern Division and the southern area is operated by the Company's Southern
Division. The instant proceeding involves only the operations of the Com-
pany's Northern Division.
During the year 1944 the Company purchased for its Northern Division
a total of 12,200,000 kilowatt hours of electrical energy, all of which was
generated within the State of Michigan by the Cliff Power and Light
Company of Ishpeming, Michigan. The electrical energy thus purchased
was in turn sold and distributed by, the Company to consumers located
within the-northern area,' the total revenue therefrom having amounted to
approximately $386,000. Approximately 40 percent of the electric, energy
distributed in 1944 by the Company's Northern Division was sold to indus-
trial concerns which are admittedly engaged in interstate commerce, the
amounts received from these concerns having been about 21 percent of the
total revenue derived from all electric energy sold. During the same period,
the Company's Northern Division produced fuel gas valued at approxi-
mately $175,000, all of which was sold and distributed to consumers within
the State of Michigan.
Also in 1944, the Company purchased for the operation of its Northern
Division coal and fuel oil valued at approximately $87,509.78, all of which
was shipped originally from joints outside the State of Michigan, in addi-
tion, it bought operating supplies valued at $13,000, of which 50 percent
was shipped from points outside that State.
We find, contrary to the Company's contention, that it is engaged in
commerce and its operations affect commerce within the meaning of the
Act.'
If. THE ORGANIZATION INVOLVED
United Steelworkers of America, affiliated with the Congress of Indus-
trial Organizations, is a labor organization admitting to membership em-
ployees of the Company.
III. THE QUESTION CONCERNING REPRESENTATION
At the hearing the Company refused to grant recognition to the Union
as the exclusive bargaining representative of certain of its employees until
the Union has been certified by the Board in an appropriate unit.
A statement of a Field Examiner for the Board, introduced into evidence
1 The northern area comprises the towns of Hancock , Marquette , Ishpeming , Negaunee, and
Munising , all located within the State of Michigan
B See Consolidated Edison Company of New York v N L R B , 305 U S. 197 In two previous
representation proceedings involving operations in the Southern Division , the Board asserted luric-
diction over the Company See Matter of Michigan Gas and Electric Company, 46 N. L R B 443;
49 N. L. R B 956.
MICHIGAN GAS AND ELECTRIC COMPANY 1375
at the hearing, indicates that the Union 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 Union seeks a unit of all production and maintenance employees of
the Company 's Northern Division , including the line foreman and the meter
and service foreman at the Ishpeming plant, the line foreman at the Muni-
sing plant , the gas plant foreman at the Hancock plant, meter readers at
the Hancock and Marquette plants, and the janitor at the Ishpeming plant,
but excluding salesmen and storekeepers at the . Ishpeming plant, office and
clerical employees , and supervisory employees . The Company , on the other
hand, contends that the employees in each of its four plants in the Northern
Division constitute four separate units, or, in the alternative , the employees
in each of the three areas in the same Division comprise three independent
units. Moreover , the Company would exclude the various foremen, meter
readers, and janitor, whose inclusion the Union specifically seeks.
The Company is divided into two Divisions for the purposes of adminis-
tration and operation , each of which is physically separated from the other,
there being no connecting transmission lines. The Company ' s operations in
its Northern Division are carried on in four plants located in three widely
separated geographical areas, namely , the Ishpeming -Negaunee -Marquette
area, in which there are two plants , one in Ishpeming and the other in
Marquette , and the Hancock and Munising areas, each having one plant.
While each plant is under the direct supervision of a superintendent, the
over-all operations of the Northern Division are controlled and directed
by a vice president and assistant general manager who , in turn , is responsible
for his activities to the Company ' s main office at Ashland , Wisconsin'
Furthermore , all policies concerning wages, hours , and conditions of
employment are determined at the Company 's main office Although there
is no interchange of employees among the four plants, all such employees
apparently belong to one local of the Union and it seems that they desire to
bargain collectively as a single group ' Moreover, the unit sought by the
Union is coterminous with one of the Company 's two major administrative
and operating divisions. We consequently perceive no reason to establish
units smaller than the division -wide unit sought by the Union.
' The Field Examiner iepoited that the Union submitted 40 application cards, all of which were
dated between February and March 1945 He also reported that there were 40 employees in the
alleged appropriate unit.
4 The Company 's Southern Division is also under the over -all supervision of a vice president who,
in turn, is responsible for his activities to the main office in Ashland , Wisconsin.
See footnote 3, supra.
1376 DECISIONS OF NATIONAL LABOR RELATIONS BOARD
Foremen: The Company employs two line foremen, one at the Ish-
peming plant and the other at the Munising plant, whose main duties are
to supervise linesmen engaged in the construction and repair of electrical
transmission lines. The foreman at the Ishpeming plant supervises three
employees and the foreman at the Munsing plant superivses two employees.
They are hourly paid and receive, respectively, 12 and 8 cents per hour
more than the highest paid linesman under their respective supervision.
Although the record shows that, at times, they are engaged in manual
work, the uncontradicted testimony of the superintendents of the Ishpem-
ing and Munising plants and the vice president in charge of the Northern
Division shows that both foremen are engaged more than 85 percent of
their working time in performing supervisory functions, and that they
possess the authority to recommend effectively the hire and discharge of
employees under their supervision. We shall exclude them.'
In the Ishpeming plant, the Company also employs a meter and service
foreman who spends approximately 65 percent of his time in the super-
vision of four servicemen engaged in the repair of household electrical ap-
pliances. Although he is an hourly paid employee, he receives 17 cents an
hour more than the highest paid than under his supervision and the un-
controverted testimony of the superintendent crf the Ishpeming plant and
the vice president in charge of the Northern Division shows that lie pos-
sesses the authority to recommend effectively the hire and discharge of
employees tinder his supervision. We shall exclude him.'
At the Hancock plant, the Company has one working foreman called the
gas plant foreman. Although he occasionally performs manual labor, his
main duties are to supervise the work of six employees. He is an hourly
paid employee and receives 9 cents an hour more than the highest paid
worker under his supervision. The Hancock plant's superintendent and the
vice president in charge of the Northern Division testified, without con-
tradiction, that this employee spends approximately 70 percent of his time
in the performance of supervisory functions, and that he possesses the
authority to recommend effectively the hire and discharge of employees
under his supervision. We shall exclude him.'
Meter Readers: The Company, in all its plants, employs meter readers
whose principal duties are to read consumption teeters and collect hills from
consumers using prepaid meters. On 2 clays of each month they work in
the office sorting bills. They are all paid on an hourly basis. Despite the
fact that all meter readers employed by the Company in its Northern
Division apparently perform similar duties, the Company would exclude
e The position of line foreman at the Ishpeming plant is occupied by Frederick J. Garccau, and the
position of line foreman at the Munising plant is occupied by Joe Troppman
Y The position of meter and service foreman at the Ishpeming plant is now occupied by Emil J.
Kaijala
8 The position of gas plant foreman at the Hancock plant is now occupied by Ricco Johnson
MICHIGAN GAS AND ELECTRIC COMPANY 1377
only one meter reader at the Hancock plants and one employed at the
Marquette plant.1° Since no adequate reasons have been advanced by the
Company for the exclusion of these two meter readers, we shall include
them together with all other meter readers in the Company's Northern
Division.
Janitor: The Company employs a janitor at the Ishpeming plant who
performs the usual duties associated with his classification. We shall include
him'
We find that all production and maintenance employees of the Company's
Northern Division, including all meter readers. and the janitor at the
Ishpeming plant, but excluding office and clerical employees, storekeepers
and salesmen at the Ishpeming plant, the line foreman at the Ishpeming
plant, the line foreman at the Munising plant, the meter and service fore-
man at the Ishpeming plant, the gas plant foreman at the Hancock plant,
the gas plant superintendent at Marquette, other superintendents, and all
other supervisory employees with authority to hire, promote, discharge, dis-
cipline, 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.
V. THE DETERMINATION OF REPRESENTATIVES
We shall direct that the question concerning representation whldh has
arisen be resolved by an election by secret ballot among the employees in
the appropriate unit who were employed during the pay-roll period imme-
diately preceding the date of the Direction of Election herein, subject to
the limitations and additions set forth in the Direction 1"
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 representatives
for the purposes of collective bargaining with Michigan Gas and Electric
Company, Ashland , Wisconsin , an election by secret ballot shall be con-
ducted as early as possible , but not later than thirty ( 30) clays from the
date of this Direction , tender the direction and supervision of the Regional
Director for the Eighteenth Region, acting in this matter as agent for the
0 The position of metes leader at the Hancock plant is now occupied by Timothy A O'Neil
10 The position of meter reader at the Marquette plant is now occupied by William Rowe.
11 See Matter of Hain) irk Mils, 57 N. L R A. 163. The position of janitor at the Ishpeming plant
is now occupied by George J. Moss
121n accordance with the agreement of the parties , all employees still on probation during the
eligibility period shall not be permitted to vote
c
1378 DECISIONS OF NATIONAL: LABOR RELATIONS BOARD
National Labor Relations Board, and subject to Article III, Sections 10
and 11, of said Rules and Regulations, among the 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 the 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 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 or not they desire to be repre-
sented by United Steelworkers of America, CIO, for the purposes of collec•
tive bargaining. °