The Paterson Leitch Co.

National Labor Relations Board - Board Decisions

Jul 17, 1941

33 N.L.R.B. 485 (N.L.R.B. 1941)

In the Matter of THE PATERSON LEITCH COMPANY and INTERNATIONAL
ASSOCIATION OF BRIDGE, STRUCTURAL & ORNAMENTAL IRON WORKERS,
LOCAL 468, AND WAREHOUSE & DISTRIBUTION WORKERS UNION, LOCAL
2-9
Case No. RE-22.Decided July 17, 1941
Jurisdiction : steel fabrication industry.
Practice and Procedure : petition dismissed where no appropriate unit within
scope of petition.
Mr. L. C. Spieth, of Cleveland, Ohio, for the Company.
Mr. James C. Connell, of Cleveland, Ohio, for Local 468.
Mr. Edward F. Crudele, of Cleveland, Ohio, for Local 2-9.
Mr. Norman M. Neel, of counsel to the Board.
DECISION
AND
ORDER
' STATEMENT OF THE CASE
On May 13, 1941, the Paterson Leitch Company, Cleveland, Ohio,
herein. called the Company, filed with the Regional Director for the
Eighth Region (Cleveland, Ohio) a petition alleging that a question
affecting commerce had arisen concerning the representation of em-
ployees of the Company and requesting an investigation and certifica-
tion of representatives pursuant to Section 9 (c) of the National Labor
Relations Act, 49 Stat. 449, herein called the Act. On May 21, 1941,
the National Labor Relations Board, herein called the Board, issued
an order dismissing the petition, and on May 26 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 2, as
amended, revoked its order dismissing the petition and ordered an
investigation and authorized the Regional Director to conduct it
and to provide for an appropriate hearing upon due notice.
On May 28, 1941, the Regional Director issued a notice of hearing,
copies of which were duly served upon International Association
of Bridge, Structural & Ornamental Iron Workers, Local No. 468,
affiliated with the American Federation of Labor, herein called Local
468, and Warehouse & Distribution Workers Union, Local 2-9, affiliated
33 N. L . R. B., No. 95.
485
486 DECISIONS OF NATIONAL LABOR RELATIONS BOARD
with the Congress of Industrial Organizations, herein called Local 2-9,
labor organizations claiming to represent employees directly affected
by the investigation. Pursuant to notice, a hearing was held June 5
and 6, 1941, at Cleveland, Ohio, before Harry L. Lodish, the Trial
Examiner duly designated by the Chief Trial Examiner. The Com-
pany, Local 468, and Local 2-9 were represented by counsel and partici-
pated in the hearing. Full opportunity to be heard, to examine and
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 committed.
The rulings are hereby affirmed.
Local 468 and Local 2-9 each filed a brief and a reply brief, all of
which have been considered by the Board.
Upon the entire record in the case, the Board makes the following :
FINDINGS OF FACT
1. THE BUSINESS OF THE COMPANY
The Paterson Leitch Company is an Ohio corporation with its
office and plant at Cleveland, Ohio, engaged in the fabrication of
various types of steel for industrial purposes, such as tracks, frames,
runways, and conveyor frames, and in warehousing for sale, steel
requirements for industrial service. Of the steel purchased by the
Company for use at its plant approximately 40 per cent is shipped
from places outside the State of Ohio, and a substantial amount of
its products is shipped to places outside the State of Ohio. The
Company employs about 200 persons, of whom approximately 160 are
engaged in production and maintenance work. It concedes that it is
engaged in interstate commerce within the meaning of the Act.
II. THE LABOR ORGANIZATIONS INVOLVED
International Association of Bridge, Structural & Ornamental Iron
Workers Union, Local No. 468, is a labor organization affiliated with
the American Federation of Labor. It admits to membership pro-
duction and maintenance employees of the Company.
Warehouse & Distribution Workers Union, Local No. 2-9, is a labor
organization affiliated with the Congress of Industrial Organizations.
It admits to membership production and maintenance employees of
the Company.
THE PATERSON LEIITCH COMPANY
III. THE APPROPRIATE UNIT
487
Prior to 1934, International Association of Bridge, Structural &
Ornamental Iron Workers, Local 17, affiliated with, the American
Federation of Labor, herein called Local 17, having jurisdiction over
persons employed. in the outside erection of iron work, negotiated
contracts with the Building Trade Employers Association of Cleve-
land and the Iron and Steel Contractors' Association of Cleveland,
covering employees of employers who were members of these associa-
tions. In November 1934 the International with which Local 17
was affiliated undertook the organization of inside iron workers em-
ployed in steel fabricating shops in the Cleveland area and chartered
Local 468 with jurisdiction over such employees. In December 1934
Local 468 executed identical contracts with six employers in the
Cleveland area. Each year thereafter the contracts were renewed
or new ones executed.
In 1939 Local 468 executed contracts with a number of companies
containing the following clause : "'The employer' agrees to employ
members of `The Union', who are in good standing, on the fabrication
of all work coming within the jurisdiction of `The Union,' as set
forth in the constitution of the International Association of Bridge,
Structural & Ornamental Iron Workers." This contract was signed
by officers of the International as well as by Local 468, and in 1940
it was extended until May 31, 1941. On January 27, 1941, pursuant
to a provision of the contract that notice of intention to alter the
terms of the contract must be given 4 months prior to its expiration,
Local 468 proposed certain changes. In April 1941 all 26 employers
who had executed the 1940 contract with Local 468, including the
Company, agreed upon a counterproposal, which they communicated
to Local 468. At a regular meeting on May 5, 1941, after discussion
and secret ballot, Local 468 accepted the counterproposal and a notice
to that effect was dispatched to the companies on the following day,
May 6,1941. By the terms of the counterproposal and acceptance the
new contract was to become effective on June 1, 1941. Local 468
subsequently ratified its acceptance of the companies' counterproposal.
Local 2-9 began the organization of the Company's employees on
May 5, 1941, and on May 10 it gave notice to the Company that it
represented a majority of the Company's employees and requested a
conference for bargaining purposes.' The Company replied that it
was filing a petition with the Board requesting an election to determine
the proper bargaining agency.
' On May 15 , 1941, Local 2-9 submitted to a rApresentative of the Board 136 applica-
tion cards , and it was determined that 135 of the signatures on said cards were the names
of persons on the Company 's pay roll , although a comparison of the signatures was'not
made Local 468 claims to continue to represent all the production and maintenance
employees of the Company pursuant to its closed -shop contract.
488 DECISIONS OF NATIONAL LABOR RELATIONS BOARD
On May 14, 1941, the Company and Local 468 executed a formal
contract pursuant to the agreement reached on May 6, containing the
closed-shop provision hereinbefore quoted and stating that it was to
be effective June 1, 1941, subject however "to any determination of
the rights of the parties in the proceedings now pending before the
National Labor Relations Board at Cleveland and in which this
agreement may be involved." Apparently all the companies had at
the time of the hearing entered into identical contracts giving effect
to the wage increase and reduction in hours provided for in the
counterproposal of the companies which was accepted by Local 468
on May 6,1941.
Local 468 and Local 2-9 agreed that the appropriate unit should
consist of all production and maintenance employees, excluding super-
visory and maintenance employees and truck drivers. Local 2-9 con-
tends, however, that the employees of the Company alone should
constitute the appropriate unit while Local 468 contends that the
employees of the 26 companies who have been acting in concert in
the conduct of labor relations should comprise the unit.
The same method of negotiation between Local 468 and the com-
panies has prevailed since 1934. In that year the president of Re-
public Structural Iron Works Co., herein called Republic, was elected
chairman of the employer group and since that date the manager
of Republic has acted as secretary. In the course of bargaining
with the employers, Local 468 has contacted the officers of Republic
who have then secured approval of the other companies by calling
meetings of employer representatives or by requesting the companies
to accept a proposal by telephone. Upon reaching an agreement,
the companies held a joint meeting with officials of Local 468 and
the terms of the contracts were jointly agreed upon and identical
contracts entered into.
In view of the established history and practice of bargaining we
are of the opinion that the single plant unit contended for by Local
2-9 is inappropriate for the purposes of collective bargaining.
IV. THE ALLEGED QUESTION CONCERNING REPRESENTATION
Since, as we have found in Section III above, the bargaining unit
sought to be established by Local 2-9 is inappropriate for the pur-
poses of collective bargaining, and since the employees in the unit
contended for by Local 468 are presently covered by valid contracts,
we find that no question has arisen concerning the representation of
employees of the Company in an appropriate bargaining unit.
Accordingly, we shall dismiss the petition.
Upon the basis of the above findings of fact and upon the entire
record in the case, the Board makes the following:
THE PATERSON LEIETCH COMPANY 489
CONCLUSION OF LAW
No question concerning the representation of employees of the
Paterson Leitch Company, Cleveland, Ohio, in a unit which is ap-
propriate for the purposes of collective bargaining has arisen within
the meaning of Section 9 (c) of the National Labor Relations Act.
ORDER
Upon the basis of the foregoing findings of fact and conclusion
of law, the National Labor Relations Board hereby orders that the
petition for investigation and certification of representatives filed by
the Paterson Leitch Company, Cleveland, Ohio, be, and it hereby
is dismissed.