Yates-American Machine Company

National Labor Relations Board - Board Decisions

Dec 23, 1938

10 N.L.R.B. 786 (N.L.R.B. 1938)

In the Matter Of YATES-AMERICAN MACHINE COMPANY and INTER-
NATIONAL , ASSOCIATION OF MACHINISTS, LOCAL 1139, (A. F. L.)
Case No. R-1070.-Decided December 23, 1938
Woodworking Machinery Mannfactusing Industry-In vestegation of Represen-
tatives: controversy concerning representation of employees : controversy con-
cerning appropriate unit; rival organizations-Unit Appropriate for Collective
Bargaining : all employees of plant, excluding supervisory employees, inside and
outside office clerical employees, plant clerical employees , and watchmen ; con-
troversy as to plant clerical employees and watchmen ; conflict as to classifica-
tion of certain employees-Election Ordered
Mr. William R. Consedine and Mr. Frederick P. Mett, for the
Board.
Mr. W. H. Arnold, of Beloit, Wis., for the Company.
Mr. J. W. Ramsey, of Rockford, Ill., for the I. A. M. and the
Molders.
Mr. W. 0. Sonnemann, of Milwaukee, Wis., for the S. W. O. C.
Mr. Daniel J. Harrington, of counsel to the Board.
DECISION
AND
DIRECTION OF ELECTION
STATEMENT OF THE CASE
On January 10, 1938, International Association of Machinists, Local
1139, A. F. of L., herein called the I. A. M., filed with the Regional
Director for the Twelfth Region (Milwaukee, Wisconsin) a petition
alleging that a question affecting commerce had arisen concerning
the representation of employees of Yates-American Machine Com-
pany, Beloit, Wisconsin, 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 September 21, 1938, 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 Director to conduct it and
to provide for an appropriate hearing upon due notice.
10 N. L. R. B, No. 67.
786
DECISIONS AND ORDERS 787
On October 1, 1938, the Regional Director issued a notice of hear-
ing, copies of- which were duly served upon the Company, upon
the I. A. M., and upon the Amalgamated Association of Iron, Steel
and Tin Workers of North America, Lodge 1787, herein called- the
Amalgamated, a labor organization claiming to represent employees
directly affected by the investigation. On October 12, 1938, the
Regional Director issued a notice of postponement of hearing and
an amended notice of hearing, copies of which were duly served
upon the above parties and upon the International Molders' Union
of North America, herein called the Molders. Pursuant to the
amended notice, a hearing was held on October 20, 1938, at Beloit,
Wisconsin, before Thomas S. Wilson, the Trial Examiner duly
designated by the Board. The Board, the Company, and the Steel
Workers' Organizing Committee on behalf of the Amalgamated,
herein called the S. W. O. C., represented by counsel, and the
I. A. M. and Molders, represented by J. W. Ramsey, grand lodge
representative of the I. A. M., participated in the hearing. At the
beginning of the hearing, three employees, Oscar Olson, O. H.
Kramer, and Lars Larsen, appeared by counsel and filed a petition
asking leave to intervene. The petition for intervention stated that
more than 175 employees did not wish to be represented by any
labor organization and requested that, if an election were ordered,
the ballot be so drawn as to permit the employees to show such
preference. Counsel for the I. A. M., the S. W. O. C., and the Board
objected to intervention on the part of the three employees. The
Trial Examiner allowed the petition for intervention to be filed,
but reserved ruling upon it. The petition is hereby denied.' Dur-
ing the hearing, counsel for the S. W. O. C. moved that the "Steel
Workers' Organizing Committee on behalf of the Amalgamated
Association of Iron, Steel and Tin Workers of North America,
Lodge 1787" be substituted in the proceeding for "Amalgamated
Association of Iron, Steel and Tin Workers of North America,
Lodge 1787." The motion was allowed by the Trial Examiner.
All parties stipulated that the Molders had relinquished to the
I. A. M. jurisdiction over the molders employed by the Company.
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 in addition to those considered above 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.
I See Matter of Bites-Coleman Lumber Company and Puget Found District Council of
Lumber and Sawmill Workers, 4 N. L R B. 679.
788 NATIONAL LABOR RELATIONS BOARD
On November 17, 1938, oral argument was had before the Board in
Washington, District of Columbia. The Board and the I. A. M.
were represented by counsel and participated in the oral argument.
Upon the entire record in the case, the Board makes the following :
FINDINGS OF FACT
1. THE BUSINESS OF THE COMPANY 2
Yates-American Machine Company, a Delaware corporation, has
its executive offices in Chicago, Illinois, and general offices in Beloit,
Wisconsin. It is engaged in the design, manufacture, assembly, sale,
and distribution of woodworking machinery, including planers,
sanders, matchers, lathes, saws, hobby tools for home use, and heat-
transfer units, motors, tools, parts for such machinery, and industrial
and automotive radiators. The Company states that it is the largest
manufacturer of woodworking machinery in the United States.
The Company operates plants at Beloit, Wisconsin; Rochester,
New York; and Hamilton, Ontario. The present proceedings involve
only the plant at Beloit. In its operation of this plant, the Company
purchases and uses large quantities of raw materials, including steel,
iron, tin, copper, steel and alloyed casts, panels, lumber, paints, chem-
icals, nuts, bolts, screws, rivets, parts, motors, cores, and various other
materials. It also purchases fabricated and manufactured parts and
appliances for incorporation in its finished products. Over 50 per
cent of the materials used at the Beloit plant are obtained from
outside Wisconsin. During the fiscal year ending June 30, 1938, the
Company's total net sales of finished products from its Beloit plant
exceeded $1,000,000. Approximately 90 per cent by value and 90 per
cent by volume of such products were shipped outside of Wisconsin.
H. THE ORGANIZATIONS INVOLVED
International Association of Machinists, Local 1139, is a labor
organization affiliated with the American Federation of Labor, ad-
mitting to its membership all employees of the Company at its Beloit
plant, excluding supervisory employees, inside and outside office cler-
ical employees, watchmen, and plant clerical employees.
Amalgamated Association of Iron, Steel, and Tin Workers of North
America, Lodge 1787, is a labor organization affiliated with the Steel
Workers' Organizing Committee and with the Committee for Indus-
trial Organization. It admits to its membership all employees of the
Company at its Beloit plant, exclusive of supervisory employees,
inside and outside office clerical employees, watchmen, and plant
clerical employees.
The facts set forth in this section were stipulated to by the Company and counsel for
the Board.
DECISIONS AND ORDERS
III. THE QUESTION CONCERNING REPRESENTATION
789
In the spring of 1937 and also in the fall of the same year the
S. W. O. C. requested recognition as the collective bargaining agency
on behalf of its members among the employees of the Company. In
the fall of 1937 the I. A. M. requested recognition on behalf of its
members among the employees of the Company and the Molders
requested recognition on behalf of the molders employed by the
Company. Both the I. A. M. and the S. W. O. C. claimed to represent
a majority of the employees, while the Molders claimed to represent
a majority of the molders. The Company refused and still refuses
to grant recognition to any organization claiming to represent its
employees until certified as such representative by the Board.
We find that a question has arisen concerning 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 com-
merce and the free flow of commerce.
V. THE APPROPRIATE UNIT
The I. A. M. and the S. W. O. C. claim that all the employees of
the Company at its Beloit plant, excluding supervisory employees,
inside and outside office clerical employees, plant clerical employees,
and watchmen, constitute an appropriate bargaining unit. The Com-
pany agrees as to the appropriateness of such unit except as regards
the exclusion from the unit of the plant clerical employees and the
watchmen. We think that since all the labor organizations here con-
cerned desire the exclusion of the plant clerical employees and
watchmen from the unit that they should be excluded.
We find that all the employees of the Company at its Beloit plant,
exclusive of supervisory employees, inside and outside office clerical
employees, watchmen, and plant clerical employees, 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
effectuate the policies of the Act.
The Company's pay roll of October 18, 1938, containing the names
of 361 employees, was introduced at the hearing. All parties stipu-
lated that seven employees on this pay roll, William Bains, Glen Cass,
147841-39-vo1 10-51
790 NATIONAL LABOR RELATIONS BOARD
W. First, Harold Snow , Walter Zerbel , Charles ,Barrand, and Casper
Hammel , should be excluded from the unit, as either supervisory or
office clerical employees . The S. W. O. C. contended that 15 other em-
ployees, R. Clayton , Walter Bigsby, A. Monroe, Ray Zahm, E. Scho-
field, E. Stevens , John Olsen, Harry Summeril , Herman ' Herbst,
Albert Lee, J. Myers, F. Taylor, F. Sherwood; Roy Troon, and E.
Braunling should also be excluded from the unit on the ground that
they were either supervisory or clerical employees . The I. A. M.
agreed with the S. W. O. C. as regards the exclusion of Roy Troon
and E . Braunling from the unit, but contended that the other 13
persons were not supervisory or clerical employees and that they
should be included within the unit. The Company contended that all
15 persons should be included within the unit. It' appears from
the record that 14 of the 15 persons in question spend a considerable
portion of their time in production work; but that each also dis-
tributes work to one or more employees and that each exercises some
measure of supervision . Under such circumstances , we feel that such
persons should be excluded from the unit if a labor organization
party to the proceeding desires such exclusion.8 We shall , there-
fore, exclude the 14 persons from the unit in the instant case., The
fifteenth person, E. Braunling , spends from 50 to 60 per cent of his
time doing clerical work. Since both the I. A. M. and the S. W. O. C.
desire that he be excluded from the unit , we shall exclude him.
VI. THE DETERMINATION OF REPRESENTATIVES
At the hearing the Company, the I. A. M., and the S. W. O. C.
stipulated that, if witnesses were called by the I. Ai M. and by the
S. W. O. C., the witnesses on behalf of each labor organization would
testify that such labor organization claimed to represent a majority of
the employees of the Company within the appropriate unit. Neither
the I . A. 'M. nor the S. W. O. C. offered any proof , however, that it
represented such majority . We find, therefore , that the question
which has arisen concerning representation of employees of the Com
pany can best be resolved by, the holding of an election by secret
ballot.
The S. W. O. C. contended at the hearing that the Company's pay
roll immediately prior to December 1, 1937, should be used to deter-
mine the eligibility of the employees to vote in the event that the
Board directed an election . The I . A. M. contended that a pay roll
earlier than June 1, 1938, should not be used , while the Company
contended that its current pay roll should be used.
In the fall of 1937 the Company 's employment reached a peak of
570 employees . This was the largest number employed by the Com-
3 See Matter of Rea Manufact u rin g Co . Inc and A. F of L Federal Local Union
No 20893, 7 N. L R. B. 95.
DECISIONS AND ORDERS 791
pang since 1928 and included a number of temporary employees. In
December 1937 the Company laid off a large number of men due to
lack of business. The hours of the men who were retained were
reduced and at the time of the hearing some of them had not yet
been restored to normal employment. The Company stated that if
business were to improve, it would reemploy the men who were laid
off, but stated that there was no immediate prospect of an increase
in business. At the time of the hearing the Company was using only
about 55 or 60 per cent of its employees on current work and stated
that it could increase the amount of work 30 or 40 per cent before it
would become necessary to hire additional men.
Under the circumstances, we will direct that the election be held
among those persons in the appropriate unit who were employed
by the Company during the pay-roll period next preceding the date
of the issuance of the Direction of Election.
Upon the above findings of fact and upon the entire record in the
case, the Board makes the following :
CONCLUSIONS OF LAW
1. A question affecting commerce has arisen concerning the rep-
resentation of employees of Yates-American Machine Company, Be-
loit, Wisconsin, within the meaning of Section 9 (c) and Section
2 (6) and (7) of the National Labor Relations Act.
2. All the employees of the Company at its Beloit plant, exclusive
of supervisory employees, inside and outside office clerical employees,
watchmen, and plant clerical employees, constitute a unit appropriate
for the purposes of collective bargaining, within the meaning of Sec-
tion 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 Rela-
tions Act, 49 Stat. 449, 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 authorized by the Board
to ascertain representatives for collective bargaining with Yates-
American Machine Company, Beloit, Wisconsin, an election by secret
ballot shall be conducted within fifteen (15) days from the date of
this Direction under the direction and supervision of the Regional
Director for the Twelfth 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 employees of
the Company at its Beloit plant employed by the Company during
792 NATIONAL LABOR RELATIONS BOARD
the pay-roll period next preceding the date of the issuance of this
Direction, excluding supervisory employees, inside and outside office
clerical employees, watchmen, and plant clerical employees, to deter-
mine whether they desire to be represented by International Asso-
ciation of Machinists, Local 1139, or Steel Workers' Organizing Com-
mittee on behalf of the Amalgamated Association of Iron, Steel, and
Tin Workers of North America, Lodge 1787, for the purposes of
collective bargaining, or by neither.
[SAME TITLE]
AMENDMENT TO DIRECTION OF ELECTION
January 7, 1939
On December 23, 1938, the National Labor Relations Board, herein
called the Board, issued a Decision and Direction of Election in the
above-entitled matter, the election to be held within fifteen (15) days
from the date of the Direction, under the direction and supervision
of the Regional Director for the Twelfth Region.
Charges having been filed alleging that Yates-American Machine
Company has engaged in unfair labor practices affecting commerce
within the meaning of Section 8 (1), and (3) of the National Labor
Relations Act, the Board hereby amends its Direction of Election by
striking therefrom the words "within fifteen (15) days from the date
of this Direction" and substituting therefor the words "within thirty
(30) days from the date of this Direction."
CHAIRMAN MADDEN took no part in the consideration of the above
Amendment to Direction of Election.
10 N. L. R. B., No. 67a.
[SAME TITLE]
SECOND AMENDMENT TO DIRECTION OF ELECTION
January 30, 1939
On December 23, 1938, the National Labor Relations Board, herein
called the Board, issued a Decision and Direction of Election in the
above-entitled matter. On January 7, 1939, the Board issued an
Amendment to the Direction of Election. The Direction of Elec-
tion, as amended, directed that an election by secret ballot be con-
ducted within thirty (30) days from the date of the Direction issued
on December 23, 1938, among all the employees of Yates-American
DECISIONS AND ORDERS 793
Machine Company, herein called the Company, at its Beloit plant
employed by the Company during the pay-roll period next preceding
the date of the issuance of the Direction , excluding supervisory
employees, inside and outside office clerical employees , watchmen, and
plant clerical employees to determine whether they desire to be repre-
sented by International Association of Machinists , Local 1139 , or Steel
Workers' Organizing Committee on behalf of the Amalgamated Asso-
ciation of Iron , Steel and Tin Workers of North America, Lodge
1787 , for the purposes of collective bargaining, or by neither.
At the request of the Regional Director for the Twelfth Region
and pending investigation of charges filed on January 5 , 1939, by
Steel Workers' Organizing Committee in behalf of Amalgamated
Association of Iron, Steel and Tin Workers of North America, Lodge
1787, the Board hereby amends its Direction of Election issued on
December 23, 1938 , as amended on January 7, 1939, by striking there-
from the words "within thirty ( 30) days from the date of this Direc-
tion" and substituting therefor the words "at such time as the
Board may in the future direct."
10 N. L . R. B., No. 67b.