Sterling Sugars, Inc.

National Labor Relations Board - Board Decisions

Feb 18, 1946

65 N.L.R.B. 1118 (N.L.R.B. 1946)

In the Matter Of STERLING SUGARS, INC. and CONGRESS OF INDUSTRIAL
ORGANIZATIONS
Case No.15-R-1.1.53.Deeided February 18,1946
Mr. Fontaine Martin, Jr., of New Orleans, La., Mr. Robert E.
Brumby, of Franklin, La., and Mr. Paul G. Borron, Jr., of Plaque-
mine, La., for the Company.
Messrs. R. W. Starnes, L. A. L'Hoste, and J. H. Ritter, of New
Orleans, La., for the C. I. O.
Mr. Sidney Grossman, of counsel to the Board.
DECISION
AND
DIRECTION OF ELECTION
STATEMENT OF THE CASE
Upon a petition duly filed by Congress of Industrial Organiza-
tions, herein called the CIO, alleging that a question affecting com-
merce had arisen concerning the representation of employees of Ster-
ling Sugars, Inc., Franklin, Louisiana, herein called the Company,
the National Labor Relations Board provided for an appropriate
hearing upon due notice before T. Lowry Whittaker, Trial Examiner.
The hearing was held at Franklin, Louisiana, on October 4, 5, and 8,
1945. The Company and the CIO 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. At the hearing, the,Company made a motion to dismiss the
petition because of the alleged insufficiency of the CIO's showing of
representation. The Trial Examiner reserved ruling for the Board.
For the reason set forth in Section III, infra, the motion is denied.
The Trial Examiner's rulings made at the hearing are free from prej-
udicial error and are hereby affirmed. All parties were afforded
opportunity to file briefs with the Board. On December 6, 1945, oral
argument was heard before the Board at Washington, D. C. All
parties appeared by counsel and participated in the argument.
Upon the entire record in the case, the Board makes the following:
65 N. L. R. B., No 195.
1118
STERLING SUGARS, INC.
FINDINGS OF FACT
I. THE BUSINESS OF THE COMPANY
1119
Sterling Sugars, Inc., a Delaware corporation, with its principal
office and place of business in Franklin, Louisiana, is duly licensed to
engage in business in the State of Louisiana. It operates several
sugar cane plantations in the Parishes of St. Mary and Iberia, Louisi-
ana, and a sugar refinery and sugar cane processing plant in Franklin,
Louisiana. This proceeding is concerned with the refining and proc-
essing plant where the Company manufactures, refines, and processes
sugar, molasses, and bagasse. During the fiscal year ending August
31, 1945, the Company purchased raw sugar amounting to $3,414,279.10
in value, of which approximately 52 percent originated from sources
outside the State of Louisiana. During the same period, sugar refined
at the Company's plant amounted to $4,550,715.62 in value, of which
approximately 85 percent was shipped to points outside the State of
Louisiana.
The Company admits that it is engaged in commerce within the
meaning of the National Labor Relations Act.
II. THE ORGANIZA'IION INVOLVED
Congress of Industrial Organizations is a labor organization, ad-
mitting to membership employees of the Company.
III. THE QUESTION CONCERNING REPRESENTATION
The Company has refused to grant recognition to the CIO as the
exclusive bargaining representative of the Company's employees until
the CIO has been certified by the Board in an appropriate unit. P
A statement of a Board agent, introduced into evidence at the hear-
ing, indicates that the CIO represents a substantial number of em-
ployees 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 CIO requests a unit consisting of all production and mainte-
nance employees of the Company at its Franklin, Louisiana, plant, in-
cluding working foremen and the commissary clerk. The Company
' The Field Examiner reported that the C I 0 submitted 146 application for member-
ahip cards , of which 3 were undated , 109 bore dates in March and April 1945 , and the
balance bore dates between June and September 1945, and that 86 cards represented the
names of persons appearing on the Company' s paN roll of September 1, 1945, in an
alleged appropriate unit consisting of 216 emplo.N ees
679100-46-N of 65-72
1120 DECISIONS OF NATIONAL LABOR RELATIONS BOARD
would confine the unit to employees engaged in refining raw sugar dur-
ing its regular refining season. Both parties are in agreement as to the
exclusion of chemists, watchmen, the chauffeur, seasonal employees,
temporary plantation employees, clerical employees, engineers, the
chief chemist, cane shed foremen, and all other supervisory employees,
but are in dispute as to certain categories hereinafter discussed.
The Company owns various plantations where it raises sugar cane.
Plantation employees are under separate supervision and generally
are included on the plantation pay roll; neither party contends that
such employees should be included in the unit. In addition, the
Company operates a plant where it processes sugar -cane into raw
sugar and related products, and also refines raw sugar. The sugar
cane processing season extends from October until the latter part of
January; the regular refining season takes place from February to
September. During the processing period, the plant personnel con-
sists of plantation labor from neighboring States, transients, local
labor, and a substantial number of employees 2 who remain with the
Company at the close of the refining season. Upon the conclusion
of the processing season, the seasonal employees leave, others remain
for the refining season , and some who left the Company's employ
after the preceding refining season return. During the refining sea-
son, farm laborers are also recruited by the Company from its planta-
tions as temporary employees. Most of the raw sugar processed dur-
ing the sugar cane processing season is sold; although a small part
is reserved for refining during the regular refining season, most of
the sugar refined is purchased from outside sources. Refining also
takes place at a reduced scale during the processing season, and
maintenance, and at times construction, of processing equipment is
engaged in during the refining season.
The dispute between the Company and the CIO centers principally
about employees who work during the cane processing season. The
Company would confine the unit to the regular refining employees,
whereas the CIO desires both refining and processing employees. As
indicated above, the same employees work during both the regular
2 As revealed by a comparison of the following comparable pay-roll periods :
Pay-roll period :
No. of employees
appearing on pay roll
No. of employees
appearing on both pay rolls
8-28-43-------------------------- 313
2-19-44-------------------------- 300 131
8-19-44-------------------------- 288
2-17-45-------------------------- 322 228
9-1-45--------------------------- 245
12-8-45-------------------------- 301 187
8-19-44-------------------------- 288
12-9-44-------------------------- 283 219
The foregoing information was submitted by the Company subsequent to the oral argu.
ment in the form of a letter dated December 8, 1945. Pursuant to a stipulation of the
parties, the Company's letter of December 8 is hereby incorporated into the record.
STERLING SUGARS, INC. 1121
refining and the sugar cane processing seasons; some keep the same
jobs, others change, and some engage in work relating to both re-
fining and processing. In addition, refining operations are carried
on during the processing season, and, conversely, some maintenance
work associated with the processing equipment is engaged in during
the regular refining season, and to some extent the same equipment
is utilized for both refining and processing. The evidence thus shows
that there is an integration of employee activities and company opera
tions such as to warrant a finding that all regular employees of the
Company, regardless of the season during which they may be em-
ployed, constitute an appropriate unit. We therefore find that em-
ployees who engage in both refining and processing may constitute
an appropriate unit for the purposes of collective bargaining.3
Norit plant foremen. The CIO would include these employees in the
unit for the reason that they perform other work in the plant in
addition to their duties in the Norit plant. The Company would ex-
clude them as supervisory employees. The Norit plant is part of the
refining operation; because of the nature of the work, it is located
in a separate building connected with the main building. Although
Norit plant foremen also work in the main plant, they devote a sub-
stantial portion of their time to supervisory duties in the Norit plant.
Their hourly rate is higher than that of other employees and they can
effectively recommend the discharge or transfer of employees under
their supervision. In the past, their recommendations as to the hire
of employees have been accepted by the Company. Inasmuch as they
possess supervisory authority within the meaning of our customary
definition, we shall exclude the Norit plant foremen.
Wagon drivers. The Company and the CIO agree that Grandson
Hamilton, a wagon driver, should be included in the unit; however, the
Company opposes the inclusion of Horace Wade, also a wagon driver.
Although both wagon drivers are under the supervision of the store-
room foreman, Hamilton is engaged in keeping the property about the
plant clean, whereas Wade performs miscellaneous duties in connection
with the plantation. Inasmuch as Wade is engaged in work primarily
concerned with the plantation, we shall exclude him from the unit.
We find that all production and maintenance employees' engaged
in refining and processing operations at the Company's Franklin,
Louisiana, plant, including working foremen 5 and the commissary
8 We find no merit in the Company's contention that employees who engage in construc-
tion should be excluded from the unit, particularly where, as here, such employees are
recruited from plant personnel and upon the cessation of their construction activities are
transferred to other work in the plant. See Matter of The Logan Clay Products Company,
63 N. L. R. B. 245.
4 Excluding Horace Wade, discussed above, and including , in accordance with the
agreement of the parties, Albert Wiggins, a truck driver, who transports employees to
and from the plant.
Falling within this category are Norit press foremen , mixer foremen, dumping crew
and raw bin foremen , packing room sugar bin foremen , and centrifugal sugar dryer fore-
men.
1122 DECISIONS OF NATIONAL LABOR RELATIONS BOARD
clerk, but excluding chemists, watchmen, the chauffeur, seasonal em-
ployees, temporary plantation employees,s clerical employees, engi-
neers, the chief chemist, Norit plant foremen, cane shed foremen,
and all other supervisors 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. THE DETERMINATION OF REPRESENTATIVES
We shall direct that the question concerning representation which
has arisen be resolved by an election by secret ballot among 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.
The CIO requests that September 29, 1945, the last pay-roll period
of the 1945 regular refining season, be adopted as the eligibility date.
Inasmuch as the 1946 refining season will have commenced at the time
the election is held, no reason exists for departing from our usual
eligibility practice. We shall therefore deny the CIO's request.
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-
tives for the purposes of collective bargaining with Sterling Sugars,
Inc., Franklin, Louisiana, 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 Fifteenth Region, acting in this matter as agent for
the National Labor Relations Board, and subject to Article III, Sec-
tions 10 and 11, of said Rules and Regulations, among employees in the
unit found appropriate in Section IV, above, who were employed
during the pay-roll period immediately preceding the date of this
E The parties agree, and we find, that feed room operators, auto mechanics and helpers,
truck drivers other than Albert Wiggins. and the dredgeman, all of whom are primarily
engaged in plantation work but are carried on the general plant pay roll, shall be ex-
cluded from the unit as plantation employees
7 These employees exercise supervisory authority during the processing season ; during
the balance of the year they work as non-supervisory maintenance men. They are to be
deemed excluded from the unit only when acting in the capacity of foremen.
STERLING SUGARS, INC. 1123
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 or not
they desire to be represented by the Congress of Industrial Organiza-
tions, for the purposes of collective bargaining.