Petroleum Iron Works Co.

National Labor Relations Board - Board Decisions

Jan 18, 1938

4 N.L.R.B. 959 (N.L.R.B. 1938)

In the Matter Of PETROLEUM IRON WORKS COMPANY and INTERPIA-
TIONAL BROTHERHOOD OF BOILERMAKERS, IRON SHIP BUILDERS,
WELDERS AND HELPERS OF AMERICA
In the Matter of THE PETROLEUM IRON WORKS COMPANY OF TEXAS
and STEEL WORKERS ORGANIZING COMMITTEE
Cases Nos. R-428 and 429.Decided January 18, 1938
Steel Products Manefacturwig Industry-Investigation of Representatives:
controversy concerning representation of employees : rival organizations ; refusal
by employer to recognize and bargain with union until question of representa-
tion is determined by Board-Units Appropriate for Collective Bargaining:
(1) employees in fabricating department except machinists and unskilled
laborers ; ( 2) employees of steel barrel and drum department ; no controversy
between two labor organizations , each claiming to represent separate units-
Representatives : proof of choice : signed authorizations ; membership application
card s-Cert?/ication of Representatives : upon proof of majority representation.
Mr. Warren Woods, for the Board.
Mr. L. B. Coppinger , of Houston , Tex., for the Company.
Mr. J. N. Davis, of Kansas City, Kans., and Mr. P. J. Martin, of
Beaumont, Tex., for the Brotherhood.
Mr. H. A. Rasmussen, of Houston , Tex., for the S. W. O. C.
Mr. Walter T. Nolte, of counsel to the Board.
DECISION
AND
CERTIFICATION OF REPRESENTATIVES
STATEMENT OF THE CASE
On June 14, 1937, International Brotherhood of Boilermakers, Iron
Ship Builders, Welders and Helpers of America, herein called the
Brotherhood, filed with the Regional Director for the Sixteenth
Region (Fort Worth, Texas) a petition alleging that a question
affecting commerce had arisen concerning the representation of em-
ployees of Petroleum Iron Works Company of Texas, Beaumont,
Texas, herein called the Company, and requesting an investigation and
certification of representatives pursuant to Section 9 (c) of the Na-
tional Labor Relations Act, 49 Stat. 449, herein called the Act. On
August 19, 1937, Steel Workers Organizing Committee, herein called
the S. W. O. C., filed a similar petition with the same Regional
959
960 NATIONAL LABOR RELATIONS BOARD
Director.' On August 10, 1937, and October 7, 1937, the National
Labor Relations Board, herein called the Board, acting pursuant to
Section 9 (c) of the Act and Article III, Section 3, of National Labor
Relations Board Rules and Regulations-Series 1, as amended, or-
dered investigations and authorized the Regional Director to conduct
them and to provide for appropriate hearings upon due notice. On
October 7, 1937, the Board, acting pursuant to Article III, Section
10 (c) (2), of the Rules and Regulations, ordered a consolidation of
the two cases for the purposes of hearing.
On October 16, 1937, the Regional Director issued a notice of hear-
ing, copies of which were duly served upon the Company, upon the
Brotherhood, and upon the S. W. O. C. Pursuant to the notice, a
hearing was held on November 8, 1937, at Beaumont, Texas, before
Madison Hill, the Trial Examiner duly designated by the Board.
The Board and the Company, represented by counsel, and the Broth-
erhood and the S. W. O. C., represented by their officers and agents,
participated in the hearing. Full opportunity to be heard, to examine
and to cross-examine witnesses, and to introduce evidence bearing on
the issues was afforded all parties. During the course of the hearing
the Trial Examiner made several rulings on motions and on objections
to the admission of evidence. The Board has reviewed the rulings
of the Trial Examiner and finds that no prejudicial errors were coin-
mitted. The rulings are hereby affirmed.
Upon the entire record in the case, the Board makes the following:
FINDINGS OF FACT
1. THE BUSINESS OF THE COMPANY
The Company was incorporated in Texas, March 25, 1929, and
operates a single works at Beaumont, Texas. While all of the stock
of the Company is owned by American Republics Corporation, it has
no close operating relationship with any of the other subsidiaries of
that organization . The Company fabricates large steel storage tanks
for use in the oil producing , oil refining , chemical, cement, and other
industries , and, to a limited extent, fabricates other types of oil re-
finery equipment . It also manufactures small steel barrels and drums
for use by the oil industry in the transportation and sale of petroleum
products . The fabrication work on the one hand and the manufac-
ture of barrels and drums on the other are carried on in two separate
buildings about one -half mile apart without interchange or inter-
relation of equipment , materials , or workers.
1 The petition of the Brotherhood describes the Company as "Petroleum Iron Works
Company", while the petition of the S. W. O. C describes it as "The Petroleum Iron Works
Company of Texas". The correct name of the Company is "Petroleum Iron Works Com-
pany of Texas".
DECISIONS AND ORDERS 961
The raw materials used are steel plates and steel sheets, paints,
lumber, welding rods, rivets, and plugs. Steel plates, which con-
stitute a major portion of all the raw materials, are shipped direct to
the Company by rail from producers in such centers as Birmingham,
Alabama; Youngstown, Ohio; and Pittsburgh, Pennsylvania. A
very small percentage of these steel plates come from Fort Worth,
Texas. The bulk of the other raw materials is obtained direct from
producers or warehouses in the State of Texas. Heavy machinery
used by the Company is purchased frdm manufacturers located
throughout the northeastern section of the United States.
The Company has a force of three salesmen, two in Texas and one
in New York City. However, all bids are prepared and contracts
closed at Beaumont or Houston, Texas. In 1936, the Company's gross
receipts were in excess of one and one-half million dollars. Of the
business transacted in that year, 98.045 per cent was done in Texas.
The remainder of the business was done in the neighboring States of
Oklahoma and Louisiana. While nearly all of the Company's sales
and deliveries are made and completed within the State of Texas,
chief among its customers are such organizations as Gulf Oil Com-
pany, Pure Oil Company, Humble Oil Company, Magnolia Oil Com-
pany, and the Texas Company.
II. THE ORGANIZATIONS INVOLVED
International Brotherhood of Boilermakers, Iron Ship Builders,
Welders and Helpers of America is a labor organization affiliated
with the American Federation of Labor, admitting to its membership
boilermakers, welders, layer-outs, flange-turners, fabricators, punch
and shearmen, burners, tackers, drillers, cranemen, tankmen, fitters,
and helpers employed in the Company's fabricating department.
Steel Workers Organizing Committee is a labor organization affili-
ated with the Committee for Industrial Organization. It is engaged
in organizing steel workers under charters issued by the Amalga-
mated Association of Iron, Steel and Tin Workers of North America.
All of the employees in the steel barrel and drum department of the
Company are eligible to membership under the charter of Local No.
2003 issued by the Amalgamated in August 1937.
III. THE QUESTIONS CONCERNING REPRESENTATION
In May 1937, the Brotherhood addressed a letter to the Company
asking recognition as exclusive bargaining agent for the employees
of the fabricating department working in the classifications included
within its organization and setting forth that it. actually represented
a substantial majority of such employees. The Company refused
recognition on the ground that an election conducted by the Board
962 NATIONAL LABOR RELATIONS BOARD
would be the only proper way of determining representatives . There-
upon the Brotherhood filed its petition.
In August 1937, the S. W. 0. C., through the collective bargaining
committee of the local, asked the Company for recognition as the
exclusive bargaining agent for all employees in the steel barrel and
drum department. The Company again withheld recognition pend-
ing a determination of representatives by the Board and the S. W.
0. C. filed its petition.
We find that questions have arisen concerning representation of
the employees of the Company.
IV. THE EFFECT OF THE QUESTIONS CONCERNING REPRESENTATION UPON
COMMERCE
We find that the questions concerning representation which have
arisen, occurring in connection with the operations of the Company
described in Section I above, have a close, intimate , and substantial
relation to trade, traffic , and commerce among the several States, and
tend to lead to labor disputes burdening and obstructing commerce
and the free flow of commerce.
V. THE APPROPRIATE UNITS
The Brotherhood asserts that approximately 70 employees, in-
,eluding boilermakers, welders, layer-outs, flange-turners, fabricators,
punch and shearmen, burners , tackers , drillers, cranemen , tankmen,
fitters, and helpers, employed in the fabricating department of the
Company constitute an appropriate bargaining unit. It seeks to
exclude from the unit employees not in its general trade classification
such as machinists , who are separately organized , clerical employees,
and unskilled laborers.
The S. W. 0. C. asserts that the employees of the steel barrel and
drum department of the Company constitute an appropriate bargain-
ing unit and by its petition claims to represent all employees work-
ing in that department irrespective of classification. Evidence intro-
duced at the hearing by the S. W. 0. C. demonstrated a community of
interest among all employees of the steel barrel and drum department.
There is no conflict whatever between the two labor organizations
on the question of appropriate bargaining units or representation of
employees within such units. In fact, both labor organizations in-
troduced evidence at the hearing to the effect that there was no
conflict in their claims and no interrelation of operation or inter-
change of workers between the two bargaining units. Both specified
that they did not claim to represent any employees outside of the
unit recited in their petition.
DECISIONS AND ORDERS 963
Although the Company moved to dismiss the Brotherhood's peti-
tion for lack of proof of an appropriate unit, it introduced no
evidence to establish the inappropriateness of either unit.
We find that the boilermakers , welders, layer -outs, flange-turners,
fabricators , punch and shearmen, burners , tackers, drillers , cranemen,
tankmen, fitters , and helpers employed in the fabricating department
of the Company constitute a unit, herein called the first unit , appro-
priate for the purposes of collective bargaining ; that all employees
working in the steel barrel and drum department of the Company
constitute another unit, herein called the second unit, appropriate
for the purposes of collective bargaining ; and that said units will
insure to employees of the Company the full benefit of their right
to self-organization and to collective bargaining and otherwise
effectuate the policies of the Act.
VI. THE DETERMINATION OF REPRESENTATIVES
At the hearing the Brotherhood introduced in evidence authoriza-
tions, signed by 55 persons who represented themselves to be em-
ployees of the Company, designating and authorizing the Brother-
hood to act for them in all matters pertaining to wages and work-
ing conditions . The authorizations were presented to the Company
on May 18, 1937, and the authenticity of the signatures as of that
date was admitted by the Company at the hearing. The record of
the hearings shows that on June 14, 1937, the date of the Brother-
hood's petition, there were 68 employees in the fabricating de-
partment within the craft classifications and that the signatures of
54 of those employees appeared on the authorizations . On Novem-
ber 5, 1937, the last pay roll date prior to the hearing, there were
51 employees within the same classifications on the Company's pay
roll. Of these, 36 had signed authorizations. Both the Company
and the Brotherhood agreed to the coriectness of the above figures.
The S. W. O. C. submitted 93 executed membership application
cards but did not introduce them in evidence. The Company and
the S. W. O. C. agreed that as of August 18, 1937, 82 of the 93 signers
of membership applications were employed in the steel barrel and
drum department. There is no evidence with regard to the number
on the pay roll as of the above date. It was also agreed between
the same parties that on November 5, 1937, there were 58 employees
in the steel barrel and drum department and that the signatures
of 51 of those employees appeared upon the membership applica-
tions. The S. W. O. C. introduced in evidence a blank form of
membership application , indicating that each applicant thereby au-
thorized it to act as a collective bargaining agency in all matters
964 NATIONAL LABOR RELATIONS BOARD
pertaining to pay rates, wages, hours of employment, and other
conditions of employment.
We find that the Brotherhood has been designated and selected
by a majority of the employees in the first unit as their repre-
sentative for the purposes of collective bargaining and that the
S. W. O. C. has been designated and selected by a majority of
the employees in the second unit as their representative for like
purposes. Each is, therefore, the exclusive representative of all
the employees in its respective unit for the purposes of collective
bargaining, and we will so certify.
Upon the basis of the above findings of fact and upon the entire
record in the case, the Board makes the following:
CONCLUSIONS OF LAW
1. Questions affecting commerce have arisen concerning the repre-
sentation of employees of Petroleum Iron Works Company of Texas,
Beaumont , Texas, within the meaning of Section 9 (c) and Section
2 (6) and ( 7) of the National Labor Relations Act.
2. The boilermakers , welders, layer-outs, flange-turners , fabricators,
punch and shearmen, burners , tackers, drillers, cranemen , tankmen,
fitters, and helpers employed in the fabrication department of the
Company constitute a unit appropriate for the purposes of collective
bargaining , within the meaning of Section 9 (b) of the National
Labor Relations Act; and all employees working in the steel barrel
and drum department of the Company constitute another unit appro-
priate for similar purposes , within the meaning of said Section 9 (b).
3. International Brotherhood of Boilermakers , Iron Ship Builders,
Welders and Helpers of America is the exclusive representative of all
the employees in the first unit for the purposes of collective bargain-
ing, within the meaning of Section 9 (a) of the National Labor Rela-
tions Act ; and Steel Workers Organizing Committee is the exclusive
representative of all the employees in the second unit for similar pur-
poses within the meaning of said Section 9 (a).
CERTIFICATION OF REPRESENTATIVES
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, and pursuant to Article III, Section 8, of National Labor
Relations Board Rules and Regulations-Series 1. as amended,
IT IS HEREBY CERTIFIED that International Brotherhood of Boiler-
makers, Iron Ship Builders, Welders and Helpers of America has
been designated and selected by a majority of the boilermakers,
welders, layer-outs , flange-turners , fabricators, puneh and shearmen,
DECISIONS AND ORDERS 965
burners, tackers, drillers, cranemen, tankmen, fitters, and helpers em-
ployed in the fabrication department of Petroleum Iron Works Com-
pany of Texas, Beaumont, Texas, as their representative for the pur-
poses of collective bargaining and that, pursuant to the provisions of
Section 9 (a) of the Act, International Brotherhood of Boilermakers,
Iron Ship Builders, Welders and Helpers of America is the exclusive
representative of all such employees for the purposes of collective bar-
gaining in respect to rates of pay, wages, hours of employment, and
other conditions of employment; and
IT IS ALSO CERTIFIED that Steel Workers Organizing Committee has
been designated and selected by a majority of all employees employed
in the steel barrel and drum department of Petroleum Iron Works
Company of Texas, Beaumont, Texas, as their representative for the
purposes of collective bargaining and that, pursuant to the provisions
of Section 9 (a) of the Act, Steel Workers Organizing Committee is
the exclusive representative of all such employees for the purposes of
collective bargaining in respect to rates of pay, wages, hours of em-
ployment, and other conditions of employment.