The Stratbury Manufacturing Company

National Labor Relations Board - Board Decisions

May 2, 1939

12 N.L.R.B. 618 (N.L.R.B. 1939)

In the Matter of THE STRATBURY MANUFACTURING COMPANY and
UNITED GARMENT WORKERS OF AMERICA, LOCAL 147, AFFILIATED
WITH THE AMERICAN FEDERATION OF LABOR
Case No. R-1199.-Decided May 2, 1939
Overcoat Manufacturing Industry-Investigation of Representatives: contro-
versy concerning representation of employees: rival organizations-Unit Appro-
priate for Collective *Bargaining: all production employees, exclusive of super-
visory, clerical, and maintenance employees, and salesman ; shipping and stock-
room employees and customers' label sewers-Election Ordered: existing collec-
tive agreement executed by employer and representative of less than a majority,
no bar to an election.
Mr. Harry L. Lodish, for the Board.
Mr. Carl J. Cugler, of Galion, Ohio, for the Company.
Mr. H. A. Bradley, and Mr. Jesse L. Gallagher, of Akron, Ohio,
and Mr. H. S. Thatcher, of Washington, D. C., for the United.
Mr. Arthur L. Miller, and Mr. Walter M. Brudno, and Mr. Beryl
Peppercorn, of Cleveland, Ohio, for the Amalgamated.
Mr. Gilbert V. Rosenberg, of counsel to the Board.
DECISION
AND
DIRECTION OF ELECTION
STATEMENT OF THE CASE
On October 15, 1938, United Garment Workers of America, Local
147, affiliated with the American Federation of Labor, herein called
the United, filed with the Regional Director for the Eighth Region
(Cleveland, Ohio) a petition alleging that a question affecting com-
merce had arisen concerning the representation of employees of
The Stratbury Manufacturing Company, Galion, Ohio, herein called
the Company, and requesting an investigation and certification of
representatives pursuant to Section 9 (c) of the National Labor
Relations Act, 49 Stat. 449, herein called the Act. On January 6,
1939, 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, ordered an investigation and authorized the Regional
12 N. L. R. B., No. 71.
618
THE STRATBURY MANUFACTURING COMPANY 619
Director to conduct it and to provide for an appropriate hearing
upon due notice.
On January 12, 1939, the Regional Director issued a notice of
hearing, copies of which were duly served on the Company, the
United, and Amalgamated Clothing Workers of America, Local 325,
herein called the Amalgamated, a labor organization claiming to
represent employees directly affected by the investigation.
Pursuant to the notice a hearing was held at Galion, Ohio, on
January 19, 1939, before J. J. Fitzpatrick, the Trial Examiner duly
designated by the Board, and, pursuant to a postponement, on Jan-
uary 23, 24, 25, 27, and 30, 1939, before Charles W. Whittemore, the
Trial Examiner duly designated by the Board in place and stead of
J. J. Fitzpatrick who became ill. At the opening of the hearing the
Amalgamated filed a petition to intervene which was granted. The
Board, the Company, the United, and the Amalgamated were repre-
sented by counsel and participated in the hearing. Full opportunity
to be heard, to examine and cross-examine witnesses, and to introduce
evidence bearing upon the issues was afforded all parties. During
the course of the hearing, the Trial Examiners made several rulings
on motions and objections to the admission of evidence. The Board
has reviewed the rulings of the Trial Examiners, and finds that no
prejudicial errors were committed. The rulings are hereby affirmed.
Briefs, duly filed by the United and the Amalgamated, have been
considered by the Board. Pursuant to notice, a hearing was held
in Washington, D. C., on March 28, 1939, before the Board, for the
purpose of oral argument. The United and the Amalgamated were
represented by counsel and participated in the argument.
Upon the entire record in the case the Board makes the following :
FINDINGS OF FACT
I. THE BUSINESS OF THE COMPANY
The Stratbury Manufacturing Company is an Ohio corporation,
engaged in the manufacturing of men's overcoats at its plant in
Galion, Ohio.
During 1938, the Company purchased raw materials, principally
woolen cloth, silk thread, linings, and buttons, valued at approxi-
mately $500,000, of which approximately 90 per cent were purchased
outside the State of Ohio. During the same period the Company
sold finished products valued at approximately $1,200,000, of which 70
per cent were shipped from the Company's plant to points outside
the State of Ohio. The Company employs more than 300 production
workers.
620 DECISIONS OF NATIONAL LABOR RELATIONS BOARD
II. THE ORGANIZATIONS INVOLVED
United Garment Workers of America, Local 147, is a labor or-
ganization affiliated with the American Federation of Labor.
Amalgamated Clothing Workers of America, Local 325, is a
labor organization affiliated with the Congress of Industrial Or-
ganizations.
Both organizations admit to membership production employees
of the Company.
M. THE QUESTION CONCERNING REPRESENTATION
On July 23, 1938, the Company and the Amalgamated entered
into an agreement constituting the latter the sole bargaining agency
of the employees hereinafter found to comprise an appropriate unit,
and containing the expression, "It is understood all employees should
be members in good standing of the Amalgamated Clothing Workers
of America." The membership of the Amalgamated ratified the
agreement at a meeting held on July 28, 1938. The Amalgamated
and the Company contend, and the United denies, that at the time
of the execution of the agreement the Amalgamated had been desig-
nated as agent for collective bargaining by a majority of the em-
ployees in such unit.
From voluminous documentary evidence introduced at the hear-
ing, counsel for the respective parties prepared an authenticated
tabulation and summary, which was introduced in evidence, listing
all employees appearing on the Company's July 25, 1938, and Jan-
uary 14, 1939, pay rolls, their work classifications, and their affilia-
tion, if any, with the dates thereof. Examination of the tabulation
reveals that on July 25, the pay-roll date nearest the date of execu-
tion and the date of ratification of the agreement, there were 304
employees within the unit found appropriate., On July 28, 1938,
if all persons who theretofore designated the Amalgamated be
deemed to adhere to their designation, the latter had been selected
by 151 persons within such unit.' These 151, moreover, include 13
who had also designated the United. It thus appears that on July
28, 1938, the Amalgamated had not been chosen by a majority. On
July 23, the date of the execution of the contract, still fewer em-
ployees had selected the Amalgamated to represent them. Clearly,
the contract was not entered into by the representative of a majority,
and its execution does not resolve any question concerning the repre-
sentation of the Company's employees which may have arisen.2 In
2 These figures include six members of the Amalgamated who, prior to the dates in
question , had been laid off.
2 Matter of American -West African Line, Inc. and National Marine Engtineers ' Beneficial
Association, 4 N. L. R . B. 1086; Matter of Southern Chemical Cotton Company and
Textile Woo kern Organizing Committee, 3 N. L. R. B. 869.
THE STRATBURY MANUFACTURING COMPANY 621
January 1939, just prior to the hearing, the Amalgamated secured
the signatures of a majority of such employees to authorization cards.
It contends that irrespective of its majority in July, it is now the
designated representative of a majority and should be certified.
The United also claims to represent a majority within the appro-
priate unit. It contends that evidence of majority designation of
the Amalgamated in January 1939, must be disregarded as having
been induced by the existence of the contract and by improper acts
of the Company in purported compliance therewith and reliance
thereon.
We find that a question has arisen concerning the representation
of employees of the Company.
IV. THE EFFECT OF THE QUESTION CONCERNING REPRESENTATION UPON
COMMERCE
We find that the question concerning representation which has
arisen, occurring in connection with the operations of the Company
described in Section I above, has a close, intimate, and substantial
relation to trade, traffic, and commerce among the several States, and
tends to lead to labor disputes burdening and obstructing commerce
and the free flow of commerce.
V. THE APPROPRIATE UNIT
The United contends that all production employees, exclusive of
supervisory, clerical, and maintenance employees, and salesmen, con-
stitute an appropriate unit for the purposes of collective bargaining.
The Amalgamated desires the same unit, with the qualification that
customers' label sewers, and shipping and stockroom employees also
be excluded. The president of the United testified at the hearing that
she had not solicited label sewers or shipping and stockroom em-
ployees on behalf of the United because she believed them to be
ineligible for membership. They are members of neither union.
When the only labor organization involved requests the inclusion
or exclusion of employees on the fringe of the production unit, the
Board usually complies with such request. In this case the United,
although requesting inclusion of the employees in question, appears,
from the testimony of its president, to believe that they are not
within the appropriate unit. We shall accordingly comply with the
request of the Amalgamated for their exclusion.3 A question arose
regarding the status of Dorothy Volk, a member of neither union,
'Matter of National Candy Company , Inc., Veribrite Factory and Local 351 Candy
Workers, affiliated with Bakery and Confectionery Workers International Union of
America (A. F. of L. affil.), 7 N. L. R . B. 1207.
622 DECISIONS OF NATIONAL LABOR RELATIONS BOARD
who works both in the production department and in the shipping
room. Volk testified without contradiction that she spends a sub-
stantial part of her time in the production department. We classify
her as a production employee.
We find that the production employees of the Company, excluding
supervisory, clerical, shipping, stockroom, and maintenance employees,
customers' label sewers, and salesmen, constitute a unit appropriate
for the purposes of collective bargaining, and that said unit will
insure to employees of the Company the full benefit of their right
to self-organization and to collective bargaining and otherwise effec-
tuate the policies of the Act.
VI. THE DETERMINATION OF REPRESENTATIVES
The Company's pay roll for January 14, 1939, reveals 330 em-
ployees within the appropriate unit. During the week preceding
that date 247 of such employees, a majority of 82, designated the
Amalgamated as their representative. The United admits the exist-
ence of the indicated majority, but contends that it resulted from
coercion on the part of the Company and does not reflect the free
will of the employees.
It appears that at a meeting of all the employees in the plant during
working hours on July 28, 1938, the Company's president announced
that a collective bargaining contract had been entered into with the
Amalgamated, and introduced Mr. Peppercorn, an organizer for the
Amalgamated, who addressed the employees. At various times there-
after, the president and supervisory officials of the Company stated
to employees that the Company had a closed-shop contract with the
Amalgamated, and advised affiliation with the Amalgamated. All
grievances of the employees were referred by the Company to the
Amalgamated grievance committee pursuant to the terms of the con-
tract. Several employees testified that they thought it was necessary
to join the Amalgamated to hold their jobs. The foregoing acts of
the Company create substantial doubt whether its employees joined
the Amalgamated of their own free will.4 Under these circum-
stances, we will disregard the majority of the Amalgamated, and will
order an election by secret ballot to determine whether a majority
of the employees in the appropriate unit wish to be represented by
the United or by the Amalgamated or by neither.
4 Matter of Federal Knitting Mills Company and Bamberger Reinthal Company and
International Ladies' Garment Workers Union, 3 N . L. R. B. 257.
THE STRATBURY MANUFACTURINGCOMPANY 623
We shall direct that all employees within the appropriate unit who
were on the Company's pay roll of January 14, 1939, the pay roll
preceding the hearing, excluding any who have quit or have been
discharged for cause, shall be eligible to vote.
Upon the basis of the above findings of fact and upon the entire
record in thQ case, the Board makes the following:
CONCLUSIONS OF LAW
1. A question affecting commerce has arisen concerning the repre-
sentation of employees of The Stratbury Manufacturing Company,
Galion, Ohio, within the meaning of Section 9 (c) and Section 2 (6)
and (7) of the National Labor Relations Act.
2. The production employees of the Company, excluding super-
visory, clerical, shipping, stockroom, and maintenance employees,
customers' label sewers, and salesmen, constitute a unit appropriate
for the purposes of collective bargaining, within the meaning of
Section 9 (b) of the National Labor Relations Act.
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 Re-
lations Act, and pursuant to Article III, Section 8, of National Labor
Relations Board Rules and Regulations-Series 1, as amended, it is
hereby
DIRECTED that, as part of the investigation ordered by the Board
to ascertain representatives for the purposes of collective bargain-
ing with The Stratbury Manufacturing Company, Galion, Ohio, an
election by secret ballot shall be conducted within thirty (30) days
from the date of this Direction of Election under the direction and
supervision of the Regional Director for the Eighth Region, acting
in this matter as agent for the National Labor Relations Board, and
subject to Article III, Section 9, of said Rules and Regulations,
among all the production employees of The Stratbury Manufactur-
ing Company whose names appear on its pay roll of January 14,
1939, excluding supervisory, clerical, shipping, stockroom, and main-
tenance employees, customers' label sewers, and salesmen, and em-
ployees who have since quit or been discharged for cause, to determine
whether they desire to be represented by United Garment Workers
of America, Local 147, affiliated with the American Federation of
Labor, or by Amalgamated Clothing Workers of America, Local 325,
affiliated with the Congress of Industrial Organizations, for the
purposes of collective bargaining, or by neither.