The Ohio Chemical & Mfg. Co.Download PDFNational Labor Relations Board - Board DecisionsNov 29, 194671 N.L.R.B. 903 (N.L.R.B. 1946) Copy Citation In the Matter Of SCANLON-MORRIS DIVISION OF THE OHIO CHEMICAL & MFG. CO., EMPLOYER and INTERNATIONAL ASSOCIATION OF MACHIN- ISTS, LODGE #1406, PETITIONER Case No. 13-P-3672.Decided November 09, 1946 Cllr. Tom C. Clark, of New York, N. Y., for the Employer. Messrs. P. L. Siemniller and Gilbert Brunner, of Chicago, Ill., for the Petitioner. Mr. Emil Costello, of Milwaukee, Wis., for the Intervenor. Mr. Conrad A. Wickham, Jr., of counsel to the Board. DECISION AND DIRECTION OF ELECTION Upon a petition duly filed, hearing in this case was held at Madison, Wisconsin, on July 23, 1946, before Benjamin B. Salvaty, Jr., hearing officer. The hearing off'icer's rulings made at the hearing are free from prejudicial error and are hereby affirmed. Upon the entire record in the case, the National Labor Relations Board makes the following : FINDINGS OF FACT I. THE BUSINESS OF TILE EMPLOYER The Ohio Chemical & Manufacturing Company, a Delaware corpo- ration, is engaged in the manufacture and sale of hospital equipment at its various plants throughout the United States. The only opera- tions of the Employer involved in this proceeding are those in Madi- son, Wisconsin, which include two plants known as the Johnson Street and Washington Avenue plants, respectively. The Employer's annual raw material purchases for these operations are in excess of $350,000, of which approximately 80 percent represents shipments from points outside the State of Wisconsin. Its annual sales exceed $1,000,000, of which approximately 80 percent represents shipments by the Employer to points outside the State. The Employer admits and we find that it is engaged in commerce within the meaning of the National Labor Relations Act. 71 N L. R. B., No. 145. 903 904 DECISIONS OF NATIONAL LABOR RELATIONS BOARD II. THE ORGANIZATIONS INVOLVED The Petitioner is a labor organization, claiming to represent em- ployees of the Employer. United Steelworkers of America, herein called the Steelworkers, is a labor organization affiliated with the Congress of Industrial Organi- zations, claiming to represent employees of the Employer. III. THE QUESTION CONCERNING REPRESENTATION The Employer refuses to recognize the Petitioner as the exclusive' bargaining representative of the employees of the Employer until the Petitioner has been certified by the Board in an appropriate unit. For several years prior to April 1946, the Employer's operations at Madison, Wisconsin, consisted of the Johnson plant with its 9 inter- connected buildings, and included, at times, several other buildings in Madison used for storage purposes. For a period dating from 1938 to April 1946, it also conducted operations in Minneapolis, Minnesota, some 270 miles distant from Madison. Both plants were engaged in producing similar, but not identical, hospital equipment. Shortly after April 27, 1946, however, the Employer transferred its Min- neapolis plant to its present location at Madison, Wisconsin, in the Employer's Washington plant,' about 1,000 yards from the Johnson plant. Before the transfer of the Minneapolis plant, production and main- tenance employees at the Madison, Wisconsin, operations were covered by a collective bargaining agreement, which is still current, between the Employer and the Steehvorkcrs,2 whereas the production and main- tenance employees at the Minneapolis plant Were covered by an agree- ment between the Employer and an affiliate of the Petitioner. The latter contract was terminated by the parties almost simultaneously with the change-over, With the further agreement that the Employer Would tranfer to Madison, without loss of seniority, all the Minneapolis employees who desired to go. About 34 of the 250 a Minneapolis em- ployees eventually Went to Madison under this arrangement. The operations commenced at the Washington plant on May 8, 1946, with a complement of about 45 to 50 employees, consisting in part of em- ployees from Minneapolis and in part of employees recruited from the 'The Washington plant was purchased specifically for the purpose of accommodating the operations transferred from Minneapolis 2 The Steelworkers was designated in 1944 as the bargaining representative of the production and maintenance employees at these operations as it result of it consent election held in August, 1944, pursuant to it consent election agreement to which the Employer, the Steelworkers and the Board were signatories The current contract is the second one between the parties. 3 These figures include employees both in and out of the unit The number of employees in the unit at Minneapolis was approximately 170 The unit proportion of the 34 transferred, however, is not established by the record. SCANLON-MORRIS DIVISION OF THE OHIO CHEMICAL & MFG. CO. 905 local labor market. At the time of the hearing, about 21/2 months after the change-over, there were approximately 115 employees at the Wash- ington plant, including 11 of the original 34 from Minneapolis. It is anticipated that the full complement of the new plant will be 175 em- ployees-equal in number to that of the Johnson plant-and that this figure will be reached shortly. On May 17, 1945, the Steelworkers, in reliance upon its current contract, which, like its predecessor contract, covers the production and maintenance employees at the Johnson plant ". . . and other buildings . . . in Madison . . . in which Management carries on manufacturing operations," notified the Employer that this contract was applicable to the transferred operation. On May 20, the Peti- tioner wrote a letter requesting recognition as bargaining representa- tive for the employees at the Washington plant, and on May 22, the Employer, after negotiating with the Steelworkers regarding wage rates relative to certain classifications at the new plant, confirmed these negotiations by letter and later incorporated them in its contract with the Steelworkers. The petition was filed on May 29, 1946. The Steelworkers urges that its current contract, which is dated April 3, 1946, and is effective until November 2, 1947, is a bar to the present proceeding. It points in this connection to the above quoted language and argues therefrom, in effect, that the change in circum- stances operated merely to enlarge the existing unit in Madison 4 and to extend to the employees at the Washington plant the terms of the April 3, 1946, contract. We are unable to agree with the Steelwork- ers' position. An examination of the contract, and particularly the language in the coverage clauses, fails to disclose any intent upon the part of the contracting parties to make the contract applicable to plants of the Employer in other cities if and when they are moved to Madison, Wisconsin, under circumstances comparable to those in the instant case. Nor can we imply such an intention. Indeed, the parties themselves found it necessary to amend the contract in certain respects in order to make its provisions applicable to the Washing- ton plant. Accordingly, since the contract as originally drawn was inapplicable to the operations at the Washington plant, and inasmuch as the claim of Petitioner antedated the amendment thereto embrac- ing the Washington plant operations and was supported by a petition within less than 10 days after such claim, we find that the April 3, 1946, contract, as amended, is not a bar to a current determination of representatives. Accordingly, in view of the foregoing, and our conclusion in Sec- tion IV, infra, that the employees at the Washington plant ma', if ' In its brief, the employer argues that this change-over constituted an expansun of, or a merger or consolidation with , the Madison plant. This issue is treated in Section IV, infra. 906 DECISIONS OF NATIONAL LABOR RELATIONS BOARD they desire, constitute an appropriate unit apart from the employees at the Johnson plant, we are of the opinion that no obstacle exists to a present determination of representatives. We find, therefore, that a question affecting commerce has arisen concerning the Employer's Washington plant employees within the meaning of Section 9 (c) and Section 2 (6) and (7) of the Act. IV. THE APPROPRIATE UNIT; THE DETERMINATION OF REPRESENTATIVES The Petitioner seeks a unit of all production and maintenance em- ployees of the Employer's Washington plant, including employees in the toolroom and machine maintenance, building service, machine shop, assembly and apparatus repair, plating and polishing, assembly and machine shop inspection, receiving, shipping room, stockroom and inventory control, and group leaders and working foremen, but excluding office and clerical employees, foremen, and other super- visors. The Employer and Steelworkers maintain that the unit sought is inappropriate, and that the appropriate unit is one compris- ing all production and maintenance employees of the Employer, with generally similar inclusions and exclusions, at all its operations in Madison, Wisconsin. The Washington plant manufactures now, as it did when located in Minneapolis, anaesthesia and oxygen therapy equipment and re- suscitators. With the possible exception of certain oxygen therapy equipment, these products are different from those manufactured by the Johnson plant, which produces such items as sterilizers, operating tables, and operating room lights. There are numerous features common to the two plants which point to the appropriateness of a single unit of all their employees. Thus, the products of each call for the same basic raw materials, similar but not identical parts, and require similar skills in their production. The Washington plant also manufactures small parts for ice boxes produced by the Johnson plant. These parts are incorporated into the ice boxes at the Johnson plant, and the ice boxes are thereupon sent to the Washington plant for attachment to its oxygen equipment. Both plants have a number of similar job classifications, and all em- ployees enjoy like seniority and wage scales, and the same vacation, hospitalization and insurance privileges. Although there is presently little interchange of personnel, it is the Employer's intention to integrate its operations to a greater extent in the future. The plants also share one mailing address, and the following departments, which are located in one or the other plant, serve both : personnel, purchasing, sheet metal, engineer and research, methods and tooling, and toolroom and machine maintenance. The manager of apparatus manufacture, assistant controller, plant office manager, plant superintendent and SCANLON-MORRIS DIVISION OF THE OHIO CHEMICAL & MFG. CO. 907 chief inspector are also common to both plants. In addition, the Employer is in the process of establishing a single accounting system for both operations, under which the presently separate cost account- ant and order and billing sections will be unified. Finally, shipments for one plant are often received at the other and trans-shipped by the Employer's trucks to their proper destination. However, it is equally apparent that, despite a high degree of integration between the two plants, the Employer conducts these operations as separate units. Thus, there has been no real interchange of personnel, nor will substantial employee interchanges occur in the near future under the present arrangenlent.° Arid although similar classifications and skills exist at both plants, the manufacturing oper- ations are conducted separately. In addition, with the exceptions noted above, there is little interchange of parts or products between the two plants, each of which produces different final products. Super, visory employees below the level of plant superintendent are generally different, and the Employer maintains separate departments of in- spection, production scheduling, building service, assembly, plating and polishing, receiving, shipping, and inventory control, as well as separate machine shops and stockrooms. The Johnson plant is also presently on a 45-hour week and the Washington unit on a 40-hour basis. Although common pay-roll records are nmaintained, the individual plants are paid bi-monthly on alternate week ends. In view of the foregoing, and on the entire record in the case, we are persuaded that the production and maintenance employees at the Washington plant could function feasibly either as a separate, single plant unit, or as a part of a two-plant unit. We believe, therefore, that our determination of the appropriate unit should be dependent, in part, nlpon the desires of these employees themselves. Consequently, we shall make no determination of the appropriate unit at this time, but shall weigh the results of the election hereinafter directed. If the production and maintenance employees at the Washington plant select Petitioner as their bargaining representative, they will constitute a separate appropriate unit. If they select the Steelworkers, they may then be bargained for as part of the unit of production and mainte- nance employees at the Johnson plant.' There remains for consideration the disposition to be made of certain employees at the Washington plant. 'There have been only five instances in which employees were transferred between the plants, and these transfers were all permanent. 6Although the Employer indicated that it contemplated considerable employee inter- change in the future, it conceded at the hearing that there would be few, if any, further transfers until the Washington plant became completely settled as a going concern, so as to place the full burden of the move from Minneapolis on the Washington plant and none on the Johnson plant, thus enabling the latter to continue operations at full productive capacity. 4 Matter of General American Aei ocoach Company, 55 N. L. R. B. 1377. 908 DECISIONS OF NATIONAL LABOR RELATIONS BOARD Truclc driver: This individual is hourly rated and is under the supervision of the storekeeper. He is engaged ni delivering parts from one plant to the other and in the disposal of rubbish. He does not do any city delivery or pick up. Since his interests appear to be closely related to those of the production and maintenance employees, we shall include him in the unit. Receiving man: At the time of the hearing this employee S was the only member of the receiving department. He is a salaried employee ].older the supervision of the storekeeper, and is primarily responsible for the issuance of "receiving papers" to substantiate the payment of bills and invoices. Although lie occasionally may assist in unloading materials, this woik is currently performed by employees borrowed from other sections of the stores department who work under his super- vision. However, it appears that the Employer contemplates hiring two additional receiving employees to perform these duties, over whom the receiving man will exercise the usual authority of a supervisor. We are of the opinion that this employee is a supervisor within our customary meaning of that term and shall exclude him from the unit." Inspection group leaders of assembly and machine shop inspection: Although normally the Employer's group leaders possess no super- visory authority within our customary meaning of the term, the two inspection group leaders at the Washington plant do possess this authority and actually perform the duties of an assistant foreman rather than a group leader. We find diem to be supervisory employees, as contended by the Employer, and shall exclude them from the unit. Accordingly, we shall direct that an election be held among the employees in the following voting group : All, production and mainte- nance employees at the Employer's Washington Avenue plant in Madi- son, Wisconsin, including all employees in toolroom and machine maintenance, building service, the machine shop, assembly, apparatus Iepair, plating and polishing, assembly and machine shop inspection, receiving, the shipping room, the stockroom, and inventory control, the tiuck driver, and group leaders and working foremen, but excluding ofice and clerical employees, foremen, inspection group leaders, and all or any other supervisory employees with authority to hire, promote, discharge, discipline, or otherwise effect changes in the status of employees, or effectively recommend such action. As stated above, there will be no final determination of the appro- priate unit pending the results of the election.10 -8 Robert Harris ° Matter of Southeastern Telephone Company , 70 N. L. R. 13 . 4 (Chief draftsman) 10 Petitioner contends in its reply brief that, in the event an election is directed , the Steel- workers should be denied a place on the ballot , since the latter has submitted no evidence of intei est among the employees of the Washington plant . However, inasmuch as we are administratively satisfied that the Steelworkers has made an adequate showing for purposes of mteivention, we shall accord it a place on the ballot Petitioner's contention is accord- ingly rejected Matter of 0 D. Jennings cC Company, 68 N. L It B 516 SCANLON-MORRIS DIVISION OF THE OHIO CHEMICAL & MFG. CO. 909 DIRECTION OF ELECTION As part of the investigation to ascertain representatives for the purposes of collective bargaining with Scanlon-Morris Division' of The Ohio Chemical & Mfg. Co., Madison, Wisconsin, 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 Thirteenth Region, acting in this matter as agent for the National Labor Relations Board, and subject to Sections 203.55 and 203.56, of National Labor Relations Board Rules and Regulations-Series 4, among the employees in the voting group described in Section IV, above, who were employed dur- ing the pay-roll period immediately preceding the date of this Direc- tion, including employees who did not work during said pay-roll period because they were ill or on vacation or temporarily laid off, and includ- ing 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 they desire to be represented by International Association of Machin- ists, Lodge No. 1406, or by United Steel Workers of America, C. I. 0., for the purposes of collective bargaining, or by, neither. Copy with citationCopy as parenthetical citation