Round California Chain Corp., Ltd.

National Labor Relations Board - Board Decisions

Oct 15, 1945

64 N.L.R.B. 242 (N.L.R.B. 1945)

In •,the Matter of , ROUND, CALIFORNIA CHAIN'. CORPORATION, LTD : and
UNITED STEELWORKERS OF AMERICA,, C. I. O. -, •• • ,
Case No. d0-R-1, 98.-Decided October 15,' 19.15
`Mr. B. J. Feigenbarum, of Sari Francisco; Calif.,•for the Company.
Mr. J. H. Sapiro, of San Francisco, Calif., and'Mr. Leo J. Oberhaus,
of Oakland, -Calif.,, for the C. I. O.
Mr. Charles J. Janigian, of San Francisco;- Calif., and' Mr. A. C.
Brunel, of Oakland, Calif.; for the A. F. of L:
- Mr. John E. Laviyer,"of counsel to the Board. I -
DECISION
AND
DIRECTION OF ELECTION
STATEMENT OF THE CASE
Upon petition duly filed by United Steelworkers of America, C. 1. 0.,
herein called the C. I. 0., alleging that a question affecting commerce
had arisen concerning the representation of employees of Round Cali-
fornia Chain Corporation, Ltd., South San Francisco, California,
herein called the Company, the National Labor Relations Board pro-
vided for an appropriate hearing upon due notice before John Paul
Jennings, Trial Examiner. Said hearing was held at San Francisco,
California, on June 29, 1945. At the commencement of the hearing,
the Trial Examiner granted a motion of International Brotherhood
of Blacksmiths, Drop Forgers and Helpers, Local No. 168, A. F. of L.,
herein called the A.F. of L., to intervene. The Company, the C. I. 0.,
and the A. F. of L. appeared at and participated in the hearing, and
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 partiess were
afforded opportunity to file briefs with the Board.
Upon the entire record in the case, the Board makes the following:
FINDINGS OF FACT
I. THE BUSINESS OF THE COMPANY
Round California Chain Corporation, Ltd., a California corpora-
tion, has, a plant at South Sail Francisco, California, where it is
64- N. L. R. B., No., 41. ,_
242
ROUND CALIFORNIA CHAIN. CORPORATION, LTD. -243
engaged-in the fabrication of chain and related products. During the
year 1944 , the.volume of sales of the Company was in excess of $100;-
000, of which 45 percent was shipped to points outside the State of
California. , .
We find, and the Company does not deny, that it is engaged',in com-
merce within the meaning of the National Labor Relations At.
H. THE ORGANIZATIONS INVOLVED
United "Steelworkers of America, affiliated with the Congress of
,Industrial Organizations, and International Brotherhood of Black-
smiths, Drop Forgers and Helpers, Local No. 168, affiliated with, the
American Federation of Labor, are labor organizations admitting to
membership employees of the Company.
III. THE QUESTION CONCERNING REPRESENTATION
For approximately 6 years the Company and the A. F. of L. have
been parties to collective bargaining agreements.,' The last contract,
and the one in dispute, was entered into on June 23, 1943. It provides
in part as follows' :
This agreement will become effective March 1, 1943 and shall
remain in effect until December 31, 1944, unless changed by
mutual consent. It is understood that wage rates only may be
opened on December 31, 1943, by either side on thirty (30) days
written notice, prior thereto. If an agreement has not been
-reached by January 31, 1944, it shall be'submitted for review and
recommendation by impartial-parties. Should,either, party desire
to change; modify, or terminate the agreement, written notice
thereof must. be given to the other, party, (30),, thirtydays prior
to December 31,'1944. ' If such- notice, is not given within such
time, the agreement shall be considered as automatically renewed
for, an, additional period of,one year, and in like manner from year
to year` thereafter.
On November 27, 1944, the A. F. of L. addressed, a letter. to the Com-
pany" stating that it desired "an informal conference to discuss condi-
tions and,-adjustments of certain wages," adding. that "This, letter
.does not open; nullify, nor void the contract, and it remains:in, full
force and effect." By. mutual agreement the parties did not meet until
Januaryol2, 1945. . • . • 1 , • - . , , , , s
During -the,January 12, meeting, which, so far as the record reveals,
was confined to the correction,df the wage rate relating to the produc-
tion of BBB type chain for which the Company had recently-been
awarded a' contract, the, parties reached an, agreement on the 'correct
rate, subject to the approval of,the superiors of the Company's man-
ager, who had participated' in the 'discussion. On January 23, 1945,
244 DECISIONS OF NATIONAL LABOR RELATIONS BOARD
after such approval had' been obtained, a 'second meeting was held
and the parties
B
agreed 'to file fan' 1 application with 'th'e' War Labor
oard `requesting permission to' 'make the ','rate correction. The A. 'F.
of L. called a third meeting with the Company on January 29, 1945,
to see if the application was ready for'signature. ' While not "ready at
this time it was sinbseq'uently completed and` signed on^ January 31,
1945. War Labor Board approval of the application was received on
March 10, 1945, and the correction, affecting three or four employees,
was made. ,Production of'the BBB type chain was started in 2 or 3
wee'k's thereafter.
'u'Iri the meantime, on January 26, 1945, the C. 0. filed its petition
with the Board and mailed a letter to the Company requesting recogni-
tion. The letter was received the following Monday, January 29,
1945, and the Company refused to recognize the C. I. 0. because of
its contract with the A. F. of L.
In its brief, the C. I. 0. asserts, in substance, that the letter sent
by,;the A. F. ^of L. on November 27, 1944, ,was the notice contemplated
by,the provisions of the contract's termination clause and, therefore,
despite the limitations that only "conditions and adjustments of cer-
tain wages," were to be discussed and this should not have the effect
of eroding the agreement, that the automatic renewal of the contract
was forestalled.
Both the Company and the A. F. of L. contend, however, that the
contract was renewed because the adjustment of the one rate was the
correction of a typographical error of long standing which had not
been previously discovered because as the particular type of chain to
be produced under the Company's recently awarded contract was
seldom' used, and in normal times was a "dead item";'and that the
error was' brought to light by reason of the award of the contract
to the Company for this particular type of chain.
The claim of error is supported by reference to the contract between
the parties which shows a variance in rate for all other types of chain
in the range between 7/8 of an inch and 1 inch, depending on size,
while the rate for BBB type, the type required by the contract, is not
varied in this size range. Further, the application to. the War Labor
Board was in the nature of a request to correct the error, and this was
the only change made or requested in the wage rates that .have been
in, effect , since January 1941.. Upon all the facts we are not persuaded
that the letter of November 27, 1944, and the subsequent negotiations
:affecting a•minor correction in-the contract,-were of such' a character
as to forestall the automatic-renewal of the -contract'
1 i Although the introductory clause of the contract indicates that it is between the Com-
pany ' and its employees who are members of the A. ' F. of L., Section 3 acgorils recognition
to the A. F. of L. as "the sole collective bargaining agent for all hourly paid or piece rate
employees ." In these circumstances , we are not persuaded that the contract is of the
"members only"type
ROUND CALIFORNIA CHAIN. CORPORATION, LTD. 245
However, since the contract will expire by its terms less than 3
months from the;present time unless renewed-by the failure of'either'
party to give the requisite 30 days' notice, we find that the contract
is not a bar to a present determination, of representatives 2 But any
certification which we may issue as a result of an election shall be,for
the limited purpose of designating a representative to negotiate an
agreement to succeed the contract expiring December 31, 1945, now
in effect.8 -
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.4
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
We' find, in accordance with the agreement of the parties, that., all
employees of the Company engaged in operations in and about its
plant at South San Francisco, California, excluding truck drivers,
office and clerical 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. -
V. TILE DETERMINATION OF REPRESENTATIVES
We shall direct that the question concerning representation which
has arisen be resolved by means of an election by secret ballot among
the employees 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.
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 Rela-
tions Board Rules and Regulations-Series 3, as amended, it is hereby
DIRECTED, that, as part of the investigation to ascertain representa-
z See Matter of Chrysler Motors Parts Corporation , 38 N. L. R B 1379.
See Matter of Chrysler Motor Parts Corporation , supra; Matter of The Flintkote Com-
pany, 55 N. L. R. B. 1442. -
The Board agent reported that the C I. O. submitted 13 authorization cards bearing
the names of persons appearing on the pay roll for January 26, 1945. The A. F. of L.
relies upon its contract for its interest in the proceeding . At the time of the hearing there
were approximately 15 employees in the appropriate unit.
246 DECISIONS OF NATIONAL LABOR RELATIONS BOARD
tives for the purposes of collective bargaining with Rou'nd• California
Chain Corporation, Ltd., South San Francisco, California, an elec-
tion 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'Twehtieth
Region, acting in this matter as agent for the National Labor Rela-
tions Board, and subject to Article III, Sections 10- and 11, of said
Rules and Regulations, among the employees. in the unit found appro-
priate 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 any 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 United Steelworkers of America, C. I. 0., or by Inter-
national Brotherhood of Blacksmiths, Drop Forgers and Helpers,
Local No. 168, A. F. of L., for the purposes of collective bargaining,
or by neither.
MR. GERARb D. REILLY,'took no part in the consideration of the
above Decision and Direction of Election.