Truscon Steel Co.

National Labor Relations Board - Board Decisions

Jun 30, 1941

33 N.L.R.B. 61 (N.L.R.B. 1941)

In the Matter of TRUSCON STEEL COMPANY and LOCAL 487, INTERNA-
TIONAL ASSOCIATION OF BRIDGE , STRUCTURAL AND ORNAMENTAL IRON
WORKERS (AFL)
In the Matter of TRUSCON STEEL COMPANY and NEW DEAL LODGE 404,
INTERNATIONAL ASSOCIATION OF MACHINISTS (AFL)
Cases Nos. R-2561 and R-2565.-Decided June 30, 1941
Jurisdiction : steel fabricating manufacturing industry.
Investigation and Certification of Representatives : existence of questions: com-
pany refused to negotiate new contracts until unions are certified by Board ;
elections necessary.
Unit Appropriate for Collective Bargaining : determination of whether produc-
tion and machine shop employees constitute single unit or two separate units
held dependent on desires of employees.
Practice and procedure : jurisdictional dispute : although two affiliates of Amer-
ican Federation of Labor seek to represent same employees , petitions not dis-
missed since third union , unaffected by jurisdictional dispute, seeks to represent
same employees ; consolidation : since the issues arising in both cases are closely
related, two cases consolidated for purposes of decision.
Mr. Thomas F. Patton, and Mr. William B. Belden, of Cleveland,
Ohio, and Mr. E. J. Magee, of Youngstown, Ohio, for the Company.
Mr. Harold Stern, of New York City, and Mr. Honor V. Kelly, of
Youngstown, Ohio, for Local 487.
Mr. A. P.Nobozny, of Lorain, Ohio, for the I. A. M.
Mr. Meyer Bernstein, of Pittsburgh, Pa., for the S. W. O. C.
Mr. Frederic B. Parkes, p2nd, of counsel to the Board.
DECISION
AND
DIRECTION OF ELECTIONS
STATEMENT OF THE CASE
On April 11 and 29, 1941, respectively, Local 487, International
Association of Bridge, Structural and Ornamental Iron Workers,
A. F. L., herein called Local 487, and Lodge 404, International
Association of Machinists, A. F. L., herein called the I. A. M., filed
33 N. L. It. B., No. 14.
61
62 DECISIONS OF NATIONAL LABOR RELATIONS BOARD
with the Regional Director for the Eighth Region (Cleveland, Ohio)
separate petitions alleging that a 'question affecting commerce had
arisen concerning the representation of employees of Truscon Steel
Company, Youngstown, Ohio, herein called the Company, and
requesting an investigation and certification of representatives pur-
suant to Section 9 (c) of the National Labor Relations Act, 49 Stat.
449, herein called the Act. On April 21 and May 3, 1941, respec-
tively, 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
2, as amended, ordered investigations with respect to the petitions of
Local 487 and the I. A. M. and authorized the Regional Director
to conduct them and to provide for appropriate hearings upon due
notice.
On May 5, 1941, the Regional Director issued separate notices
of hearing, copies of which were duly, ,served upon the Company,
Local 487, the I. A. M., and upon Steel Workers Organizing Com-
mittee, C. I. O., 'herein called the S. W. O. C., labor organization-
claiming to represent employees directly affected by each of the
investigations. Pursuant to notice, separate hearings were held on
May 15 and 16, 1941, at Youngstown, Ohio, before Max W. John-
stone, the Trial Examiner duly - designated by the Chief Trial
Examiner. The Company, Local 487, the I. A. M., and the S. W. O. C.
were represented by counsel or official representatives and,. par-
ticipated in each of the hearings: Full opportunity to be heard,
to examine and cross-examine witnesses, and to introduce evidence
bearing on the issues was afforded all parties. The S.. W. O. C.
moved that the petition filed by Local 487 be dismissed upon the
ground that the unit sought by Local 487 was inappropriate. The
Trial Examiner reserved ruling on this motion for the Board. The
motion is hereby denied for reasons set forth below. During the
course of the hearings the Trial Examiner made various rulings on
other 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. On May 27, 1941, Local 487 filed a brief which the Board
has considered. Since the issues arising in both cases are closely
related, we shall consolidate the, two cases for the purpose of
decision.
TRUSCON STEEL. COMPANY 63
Upon the entire record in the cases, the Board makes the following :
FINDINGS OF FACT
1. THE BUSINESS OF THE COMPANY
Truscon Steel Company,' a Michigan corporation, is engaged in
the manufacture of steel window products, steel doors, floor systems,
steel deck roofs, steel joists, railroad crossings, metal lathe products,
reinforcing steel, road reinforcing, steel insulation, steel poles, and
pressed and drawn steel products. The' Company operates plants at
Youngstown, Ohio, Cleveland, Ohio, Los Angeles, California, Gads-
den, Alabama, Baltimore, Maryland, and Bremen, Indiana. The,
latter plant ceased active operations in May 1941. The instant case
is concerned only with the Youngstown plant, which produces 75
per cent of the total output of the Company. The principal raw
materials used by the Company consists of steel in the following
forms : rods, wire, strip sheets, bars, angles, special sections, bar
royce, lathes, plates, channels, structural and floor plates. During
the year 1940 the Company purchased approximately 300,000 tons
of raw materials, of which approximately 200,000 tons were pur-
chased and shipped to it from points outside the State of Ohio.
During the same period the Company produced in Ohio finished
products valued at approximately $14,000,000, of which approxi
mately $12,000,000 were sold and shipped to points outside the State
of Ohio. The Company employs approximately 1,548 employees
at its Youngstown plant.
,II. THE ORGANIZATIONS INVOLVED
. Local 487, International Association of Bridge, Structural and
Ornamental Iron Workers, is a labor organization affiliated with the
American Federation of Labor, admitting employees of the Company
to membership.
i At the present time Republic Steel Corporation owns approximately 97 per cent of the
outstanding stock of Truscon Steel Company . It is one of 437 stockholders of the Company.
None of the other stockholders ,, who own approximately 22,000 shares of Truscon Steel
Company stock , have any connection with Republic Steel Corporation . Truscon Steel
'Company is a separate and distinct corporate entity having its own offices , board of di-
rectors , office staffs , etc. Truscon Steel Company is a fabricator and engages in a business
separate and 'distinct from that of Republic Steel Corporation , which is-engaged in the basic
steel industry . Truscon Steel Company buys from Republic Steel Corporation all the steel
required of the character manufactured by the latter . Truscon Steel Company buys that
portion of its requirements which are not within the facilities of Republic Steel Corporation
from other steel companies.
64 DECISIONS OF NATIONAL LABOR RELATIONS BOARD
New Deal Lodge 404, International Association of Machinists, is
a labor organization affiliated with the American Federation of
Labor, admitting employees of the Company to membership.
Steel Workers Organizing Committee is a labor organization, affili-
ated with the Congress of Industrial Organizations, admitting em-
ployees of the Company to membership.
III. THE QUESTIONS CONCERNING REPRESENTATION
On March 7, 1941, Local 487 attempted to negotiate a new collective
bargaining agreement with the Company. On April 1, 1941, the
Company refused to sign an agreement .until Local 487 was certified
by the Board. On April 10, 1941, the I. A. M. requested the Com-
pany to meet with it in a conference to negotiate a new collective
bargaining agreement which would be reduced to writing and signed.
The Company refused to sign any agreement until the I. A. M.
should be certified by the Board. Statements of the Board's Field
Examiner introduced into evidence show that Local 487, the I. A. M.,
and the S. W. O. C. represent a substantial number of the Company's
employees.2 The parties further stipulated at the hearing that the
S. W. O. C. represents employees of the Company directly affected
by the investigation.
We find that questions have arisen concerning the representation
of employees of the Company.
1V. THE, EFFECT OF THE QUESTIONS CONCERNING REPRESENTATION UPON
COMMERCE
We find that the questions concerning representation. which have
arisen occurring in connection with the operations of the Company
described in Section I, above, have a close, intimate, and substantial
relations to trade,-traffic, and commerce among the several States and
tend to lead to labor disputes burdening and. obstructing commerce
and the free flow of commerce.
2 Local 487 filed application cards dated between 1935 and 1941 and dues records for the
current year with the Field Examiner. The dues records did, not bear the signatures of
the members, but for each dues record there was a corresponding application for member-
ship. A comparison of the dues records with a list of employees submitted by the Company
from its pay roll of May 1, 1941, disclosed that 743 employees.of the Company are mem-
bers in good standing of Local 487. There are approximately 1345 production employees.
The S. W. O. C. filed with. the Field Examiner 302 membership cards, of which 240 were
dated between January and May 1941 and 62 were undated. The Field Examiner, found
the signatures of 205 cards to be genuine and to be the names of persons on the Company's
pay roll of May 1, 1941. He found further that 100 employees have'signed applications
for membership in both the S. W. O. C. and Local 487 and are claimed as active members
by both organizations.
The I. A. Al. filed authorization cards with the Field Examiner who found that 77 bore
genuine signatures, which were names of persons on the Company's pay roll of May 1,
1941. There are approximately 110 machine-shop employees.
TRUSCON STEEL COMPANY
V. THE APPROPRIATE UNIT
65
Local 487 contends that all production employees in the Youngs-
[own plaint of the Company, including boilerhouse employees. but
excluding policemen, foremen, timekeepers, male and female janitors,
female nurses, factory-office , clerks, expeditor, production clerks,
print-shop employees, all salaried and supervisory employees, office
employees, yardmasters, carpenters, electricians, machinists, machin-
ist helpers, inspectors, millwrights, and related employees in the
mechanical department, constitute a unit appropriate for the purposes
of collective .bargaining.
The I. A. M. claims that all machine-shop employees in the Youngs-
town plant of the company, including machinists, machinist helpers,
machinist apprentices, millwrights, pipefitters, heat treaters, black-
smiths, blacksmith helpers, grinders in the machine shop, drill-press
operators who work under the master mechanics, welders in the
machine shop, carpenters and electricians who work under the mas-
ter mechanics, diemakers, die repairmen, all, toolroom employees, and
all boilerhouse employees, excluding supervisory and clerical em-
ployees, constitute a_unit appropriate for the purposes of collective
bargaining.
The S. W. -O. C., on the other hand, contends that all production
and maintenance employees, in all the plants of the Company, ex-
eluding policemen, foremen, timekeepers, male and female janitors,
female nurses, factory-office clerks, expeditor, production clerks,
print-shop employees, office employees, and all salaried and super-
visory employees, constitute a single unit appropriate for collective
bargaining purposes, and that the foregoing units requested by Local
487 and the I. A. M. are inappropriate. If the Board should find
the system-wide unit inappropriate, the S. W. O. C. further contends
that the above-mentioned employees in the Youngstown plant of the
Company constitute a single appropriate unit.
The.Company contends that the respective units sought by Local
487 and the I. A. M. are appropriate.
In the main, the employees in the unit sought by Local .487 are
production workers, employed in the Company's main plant, fabri-
cating steel into many products. Those whom the I. A. Al. seeks
to. represent are, generally speaking, maintenance employees, work-
ing directly under, the supervision of . the master mechanics. .The
majority of such employees work for the most part in the machine
shop, which is located in a separate building, across a road, from
the main production plant. The toolroom is a part of the machine
shop. The boilerhouse is a separate building on the opposite side
of the plant from the machine shop. Millwrights are ei%gaged prin-
cipally in ,the repair of the production machinery and necessarily
66 DECISIONS OF NATIONAL LABOR RELATIONS BOARD
spend most of their time in the production plant as do the pipefitters.
The maintenance employees are further distinguished from the pro-
duction employees in that they are, in general, paid a higher hourly
rate than the latter.
Local 487 commenced its organizational activities at the Company's
Youngstown plant in September 1935, when it was chartered, thereby
superseding Federal Labor Union No. 18288, A. F. L:, which had
theretofore exercised jurisdiction over the Company's employees. As
a result of negotiations between Local 487 and the Company in 1935
and 1936, an agreement was executed, containing provisions govern-
ing hours of work, rates of pay, and general working conditions,
extending to the same employees as are in the unit sought by Local
487 herein. The Company -did not sign the agreement but orally
accepted it. On May 10; 1939, Local 487 and the Company entered
into another oral agreement, similar to that made in 1936, but ex-
tending only to the production employees who were members of
Local 487. On March 7, 1941, Local 487 attempted. to- negotiate a
new agreement, which the Company refused to sign. On April 12,
1941, however, the Company granted the demands for a wage in-
crease made by Local 487 on April 1, 1941. Throughout, all its
negotiations, Local 487 has, in general, not sought to bargain for
those employees it would exclude from the unit nor for those employees
eligible to membership in the I. A. M.
The I. A. M. commenced its organizational activities in the Com-
pany's Youngstown plant in March 1933 and chartered New Deal
Lodge 404 in August 1933. On April 2, 1933, the I. A. M. sub-
mitted to the Company a document stating its desires in regard to
working conditions and labor policies of the Company. The Com-
pany orally agreed to most of the provisions, covering hours of work,
seniority rights, wage rates; classifications of employees, and other
labor policies. As a result of negotiations by the I. A. M., a policy
governing apprentices was adopted by the Company in 1934. Again
in 1935, the I. A. M. submitted certain proposals governing labor
policies, to most of which the Company orally agreed. It was pro-
vided that these agreements should_ continue in effect indefinitely
until notice 'of a change should be given by either party. The
benefit of the negotiations made by the I., A. M. extended to all
employees working under the master mechanics and included all
those categories of employees in the unit herein sought by the I. A. M.
The S. W. O. C. commenced its organizational activities at the
Company's Youngstown plant, sometime before February 26, 1941,
when its local was chartered at Youngstown. The S. W. O. C.
offered no evidence of its organizational activities in other plants of
the Company in support of its contention for a system-wide unit
TRUSCON STEEL COMPANY '67
of all production and maintenance employees of the Company's
various plants.
International Association of Bridge, Structural and Ornamental
Iron Workers has chartered locals at Los Angeles, California; Balti-
more, Maryland; and Bremen, Indiana. The three locals have nego-
tiated agreements for the production employees in the Company's
plants located in those cities. In each instance, the Company has made
oral agreements and the bargaining unit in each plant is generally
the same as that sought by Local 487 herein. The only plants em-
ploying machinists are those at Baltimore, Maryland, and Youngs-
town, Ohio, and in both plants the L A.M. has negotiated for such
machinists.
From the foregoing it appears that the production and machine-
shop employees of the Company's Youngstown plant might properly
constitute a single unit or two separate bargaining units. We shall
direct that two elections be held, one among the production em-
ployees •of the Company's Youngstown plant to determine whether
they desire to be represented by the S. W. O. C., by Local 487, or
by neither, and the other among the machine-shop employees of the
Company's Youngstown plant to determine whether they desire to
be represented by the S. W. O. C., by the I. A. M., or by neither.
If the employees voting in the two elections select the same repre-
sentative, they will constitute a single appropriate unit. If they
choose different representatives, they will constitute two separate
and distinct appropriate units.
There remains for consideration the question of whether certain
specific groups of employees should be included in the voting units.
The S. W. O. C. would include yardmasters and Local 487 would
exclude them from the unit. Yardmasters expedite freight move-
ment inside the plant, reduce demurrage fees as much as possible,
and arrange the transfer of cars to the proper tracks. Since their
duties appear to be chiefly supervisory, we shall exclude them from
the voting units. '
The S. W. O. C. would also include carpenters and electricians in
the,unit. Local 487 would exclude them, and the I. A. M. would
-include only those carpenters and electricians who work directly
under the supervision of the master mechanics. Carpenters and
electricians are engaged principally in maintenance work. The
former, also brace freight after it is loaded in the railroad cars ;
the latter repair electrical equipment and power lines in the plant..
Local, 487, however, has admitted 8 or 10-carpenters and 20 or 25 ,
electricians to membership and has bargained for their in the past.
In view of- these facts, we shall include in the voting unit of the
machine-shop employees, those carpenters and electricians who are,
450122-42=vol. 33 6
68 DECISIONS OF NATIONAL LABOR RELATIONS BOARD
under the supervision of the master mechanics, and, in the voting
unit of the • production employees, all the remaining carpenters and
electricians.
A's to boilerhouse employees, both the I. A. M. and Local 487
desire to represent them. -Since both labor organizations are
chartered by international unions affiliated with and subject to dis-
cipline by the same parent body, a jurisdictional conflict thereby
arises. We have consistently dismissed proceedings wherein two
unions subject to discipline by the same parent body have disagreed
over the extent of their jurisdiction. However, since the S. W. 0. C.,
which is not a party to the jurisdictional dispute, is seeking to repre-
sent employees of the Company in a unit which includes. the
boilerhouse employees, we must determine the question of their
representation which has been raised in this proceeding, irrespective
of the incidental or collateral dispute over jurisdiction between the
I. A. M. and Local 487, both of which are affiliated with. the Amer-
ican Federation of Labor.' The I. A. M. has admitted two boiler-
house employees to membership and has bargained for them. It
appears that certain of these employees are engaged part of the time
in maintenance work. In -view of these facts, we shall include them
in the voting unit of the machine-shop employees.
The Company, the I. A. M., Local 487, and the S. W. 0. C. request
that policemen, foremen, timekeepers, male and female janitors,
female nurses, factory-office clerks, expeditor, production clerks, print-
shop, employees, office employees, and all salaried and supervisory
employees be excluded from - the voting- units. We shall exclude all
such employees from the voting units.
VI. THE DETERMINATION OF REPRESENTATIVES
Local 487, the J. A. M., and the Company requested that the pay
roll of May 7, 1941 be used for the purpose. of determining eligibility
to vote in the elections. The S. W. 0. C. urges the use of the pay
roll nearest to. the date of election for 'such purpose. We find no
reason to depart from our usual practice and shall accordingly direct
that the employees of the Company eligible to vote in' the elections-
shall be those employees who were employed during the pay-roll
period immediately preceding the date 'of the Direction of Elections
herein, subject to such limitations and additions as are set forth in
A he Direction. .
8 See Matter of Long Bell Lumber Company and International Association of Machinists,
Local No. 1350, affiliated with the American Federation of Labor, 16 N. L. R. B. 892 ; Matter
of Campbell, Wyant& Cannon Foundry Co. and Local 539, International Union , United
Automobile Workers of America, C. I. 0., 32 N. L. R. B. 416.
TRUSCON STEEL COMPANY 69
Upon the basis of the above findings of fact and upon the entire
record in the cases, the Board makes the following :
CONCLusION OF LAW
Questions affecting commerce have arisen concerning the repre-
sentation of employees of Truscon, Steel Company, Youngstown,
Ohio, within the meaning of Section 9 (c) and Section 2 (6) and
(7) of the Act.
DIRECTION OF ELECTIONS,
By virtue of and pursuant to the power vested in the National
Labor Relations Board by Section 9 (c) of the National Labor Rela-"
tions Act and pursuant to Article III, Section 8, of National Labor
Relations Board Rules and Regulations-Series 2, as amended, it is
hereby
DIRECTED that, as part of the investigation authorized by the Board
to ascertain representatives for the purposes of collective bargaining
with Truscon Steel Company, Youngstown, Ohio, elections 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 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 employees of the Company's Youngstown plant in each'
of the two following groups described below who were employed
during the pay-roll period immediately preceding the date of this
Direction, including employees who did not work during such pay-
roll period because they were ill or on vacation or in the active mili-
tary service or training of the United States, or temporarily laid off,
but excluding policemen, foremen, timekeepers, male and female
janitors, female nurses, factory-office clerks, expeditor, production
clerks, print-shop employees, office employees, yardmasters, all
salaried and supervisory employees, and employees who have since
quit or been discharged.for cause :
1: Among all production employees, including carpenters and
electricians not working under the supervision of the master
mechanics, but excluding machinists, machinist helpers, inspectors,
millwrights, and related employees in the mechanical department, to
determine whether they desire to be represented by Local 487, Inter-
national Association of Bridge, Structural and Ornamental Iron
Workers, affiliated with the American Federation of Labor, or by
Steel Workers Organizing Committee, affiliated with the Congress