Archer-Daniels-Midland Co.

National Labor Relations Board - Board Decisions

Mar 4, 1946

66 N.L.R.B. 246 (N.L.R.B. 1946)

In the Matter of ARCHER-DANIELS-MIDLAND Co. and INTERNATIONAL
CHEMICAL WORKERS UNION, LOCAL #210, A. F. OF L., PETITIONER
In the Matter of ARCHER-DANIELS-MIDLAND 'COMPANY, PETITIONER
and FEDERAL LABOR UNION, LOCAL No. 22127, AFFILIATED WITH THE
AMERICAN FEDERATION OF GRAIN PROCESSORS AND THE AMERICAN
FEDERATION OF LABOR and INTERNATIONAL CHEMICAL WORKERS UNION,
LOCAL #210, AFFILIATED WITH THE AMERICAN FEDERATION OF LABOR
Cases Nos. 17-R-1206 and 17-RE-15, respectively.-
Decided March 4, 1946
Mr. W. J. Hoo fe, of Minneapolis, Minn., and Mr. C. W. Dalton,
of Fredonia, Kans., for the Company.
Mr. Fred Olds, of E. St. Louis, Ill., and Mr. John L. Woods, of
Fredonia, Kans., for Local 210.
Messrs J. A. Leveridge and R. H. McClain, both of Kansas City,
Mo., for Local 22127.
Mr. Nathan Saks, of counsel to the Board.
DECISION
DIRECTION OF ELECTION
AND
ORDER
STATEMENT OF THE CASE
Upon petitions duly filed by International Chemical Workers
Union, Local # 210, A. F. of L., herein called Local 210, and Archer-
Daniels-Midland Company, Fredonia, Kansas, herein called the
Company, each alleging that a question affecting commerce had
arisen concerning the representation of employees of the Company,
the National Labor Relations Board consolidated the cases and pro-
vided for an appropriate hearing upon due notice before Margaret
Fassig, Trial Examiner. The hearing was held at Fredonia, Kansas,
on October 24, 1945. The Company, Local 210, and American Feder-.
ation of Grain Processors, A. F. of L., herein called the Grain
66 N. L . R. B., No. 25.
246
ARCHER-DANIELS-MIDLAND CO. 247
Processors, appearing on behalf of its affiliate, Federal Labor Union,
Local No. 22127, herein called Local 22127, appeared and partici-
pated. At the hearing, the Grain Processors made a motion to
dismiss the petitions on the apparent ground that there was a con-
tractual bar to the proceedings. Ruling on the motion was reserved
for the Board. For the reasons set forth in Section III, infra, the
motion is hereby denied. The Company made a request at the hear-
ing to withdraw its petition in Case No. 17-RE-15. Inasmuch as
both petitions relate to the same question concerning representation,
and because that question is hereinafter resolved in Case No. 17-R-
1206, the request is hereby granted. All parties were afforded full
opportunity to be heard, to examine and cross-examine witnesses,
and to introduce evidence bearing on the issues. The Trial Exam-
iner's rulings made at the hearing are free from prejudicial error
and are hereby affirmed. All parties were afforded opportunity to
file briefs with the Board. Subsequent to the hearing, the Grain
Processors filed a request that the case be reopened on the grounds
that: (1) it did not have benefit of counsel at the hearing; and (2)
it has additional evidence to present. Inasmuch as there was no
request for a postponement of the hearing by the Grain Processors
either before or during the hearing in order that it might be repre-
sented by counsel, and because it was afforded full opportunity at
the hearing to, and did, adduce evidence on the issues, the request
is denied.
Upon the entire record in the case, the Board makes the following :
FINDINGS OF FACT
1. THE BUSINESS OF THE COMPANY
Archer-Daniels-Midland Co., a Delaware corporation, is engaged
in the business of manufacturing and refining vegetable oil. At its
Fredonia, Kansas, plant, which is solely involved in this proceeding,
it crushes soy beans and flaxseed for the purpose of extracting veg-
etable oils. During the fiscal year ending July 1, 1945, the Company
purchased for use at its Fredonia plant soy beans and flaxseed valued
at approximately $2,845,500, approximately 17 percent of which
represented shipments from sources outside the State of Kansas.
The Company admits that it is engaged in commerce within the
meaning of the National Labor Relations Act.
II. THE ORGANIZATIONS INVOLVED
International Chemical Workers Union, Local #210, is a labor
organization affiliated with the American Federation of Labor, ad-
mitting to membership employees of the Company.
248 DECISIONS OF NATIONAL LABOR RELATIONS BOARD
Federal Labor Union, Local No. 22127, is a labor organization
affiliated with the American Federation of Grain Processors, which
is in turn affiliated with the American Federation of Labor, admit-
ting to membership employees of the Company.
III. THE QUESTION CONCERNING REPRESENTATION
Local 22127 has had collective bargaining agreements with the
Company covering the employees here involved since 1939. The last
contract, which was entered into on November 30, 1944, provided
that it ". . . shall become effective on the first day of July 1944,
and shall be operative and remain in full force and effect until the
first day of July 1945, and from year to year thereafter, subject,
however, to the right of either party to terminate the agreement at
the end of any yearly period by written notice given to the other
party sixty (60) days prior to the end of any such year; if said
sixty (60) days' notice, as provided for herein, is given by either
party to the other, said notice shall be in writing and sent by reg-
istered mail and accompanied by a proposed agreement covering
all changes that may be requested." 1 At a regularly called meeting
of Local 22127 on April 17, 1945, a quorum being present, the mem-
bers present voted unanimously to transfer their affiliation from the
Grain Processors to the International Chemical Workers Union,
A. F. of L., herein called the Chemical Workers? Shortly there-
after the charter and seal of Local 22127 were returned to the Amer-
ican Federation of Labor. The last payment of dues on behalf of
the members of Local 22127 was made to the Grain Processors and
to the American Federation of Labor for the month of April 1945.
Subsequently, a new charter was received by the local group from
the Chemical Workers identifying it as Local No. 210, affiliated with
the Chemical Workers. Meetings were thereafter held by Local 210,
and the same men who had been officers of Local 22127 continued
in like capacities in Local 210 without the formality of holding a
new election. Local 210 administered the 1944 contract, but appar-
ently gave no specific notice of the change of affiliation to the Com-
pany. However, apparently acting on the assumption that Local
22127 was defunct, and that it was the legal successor to Local 22127
for all purposes, Local 210, by a registered letter dated April 28,
1945, notified the Company that it desired changes in the contract
between the Company and Local 210.3 This notice was in conform-
ity with the provisions of the 1944 contract. Thereupon the Com-
I The Grain Processors was not a party to this contract, but a signatory for the sole
purpose of approving it. The contract provides for a closed shop.
• This was the last meeting held by Local 22127.
This letter was received on the same day,
ARCHER-DANIELS-MIDLAND CO. 249
pany notified the Grain Processors of Local 210's request, and on
May 9, 1945, the Grain Processors advised the Company that it did
not recognize the validity of any change in affiliation. By letter
dated May 12, 1945, the Company advised Local 210 that it could
not honor the request for contract changes because it had no con-
tract with Local 210; that its contract was with the Grain Proc-
essors, from whom it had received no notification authorizing a
change of affiliation. Both the Company and the Grain .Processors
now take the position that the 1944 contract has been automatically
renewed until July 1, 1946, and consequently is a bar to a present
determination of representatives. We do not agree.
In our opinion, Local 210's letter of April 28, 1945 , was sufficient
to put the Company on notice either that Local 210 was the successor
to Local 22127, or an active rival of the latter organization. In the
former view, the letter constituted timely notice under the terms
of the contract of a desire to terminate it. In the latter view, the
letter was tantamount to an assertion of a rival claim prior to the
1945 effective automatic renewal date of the contract. In either
event, the Company was precluded from barring Local 210 by re-
newing the 1944 contract with Local 22127. Accordingly, we shall
proceed to a present determination of representatives'
A statement of a Board agent, introduced into evidence at the
hearing, indicates that Local 210 represents a substantial number
of employees in the unit hereinafter found appropriate.5
We find that a question affecting commerce has arisen concerning
the representation of employees of the Company, within the mean-
ing of Section 9 (c) and Section 2 (6) and (7) of the Act.
IV. THE APPROPRIATE UNIT
We find, in accordance with a stipulation of the parties , that all
hourly paid and piece-work production and maintenance employees
at the Company' s Fredonia , Kansas, plant, excluding supervisors,
A Nor do we find any merit in the contention of the Grain Processors that since the
case involves a jurisdictional dispute between two unions , both affiliated with the
American Federation of Labor, the Board should not proceed in the matter, but should
leave it for settlement by the parent body. The record discloses that before the hearing
was authorized reasonable opportunity was furnished to the parent body to settle the
jurisdictional dispute without result . Moreover , as we have often held , we proceed with
our investigation in matters of this nature not to determine the labor organization
authorized by the parent body to assert jurisdiction over the type of employees involved,
but rather to determine whether either of the affiliates is the exclusive representative of
such employees in an appropriate bargaining unit.
g The Field Examiner reported that Local 210 submitted 57 authorization cards and 4
membership applications, bearing the names of 59 employees listed on the Company's
pay roll of July 29, 1945.
The Grain Processors relies upon the contract between the Company and Local 22127
as evidence of the interest of Local 22127 in the proceeding.
There are approximately 78 employees in the appropriate unit.
ZSO DECISIONS OF NATIONAL LABOR RELATIONS BOARD
foremen, laboratory and office workers, and all or any other super-
visory employees with authority to hire, promote , discharge , disci-
pline, or otherwise effect changes in the status of employees, or
effectively recommend such action , constitute a unit appropriate
for the purposes of collective bargaining within the meaning of
Section 9 (b) of the Act.
V. THE DETERMINATION OF REPRESENTATIVES
We shall direct that the question concerning representation which
has arisen be resolved by an election by secret ballot among employ-
ees in the appropriate unit who were employed during the pay-roll
period immediately preceding the date of the Direction of Election
herein, subject to the limitations and additions set forth in the Direc-
tion. Because, as indicated above, it is doubtful whether Local
22127 is still a functioning labor organization, and inasmuch as the
Grain Processors appeared and participated on its behalf, we shall
accord the Grain Processors a place on the ballot in order fairly
to reflect the desires of the employees.
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, and pursuant to Article III, Section 9, of National Labor
Relations Board Rules and Regulations-Series 3, as amended, it is
hereby
DIRECTED that, as part of the investigation to ascertain represent-
atives for the purposes of collective bargaining with Archer-Daniels-
Midland Co., Fredonia, Kansas, 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 Seventeenth Region, acting in this
matter as agent for the National Labor Relations Board, and sub-
ject to Article III, Sections 10 and 11, of said Rules and Regula-
tions, among employees in the unit found appropriate in Section
IV, above, who were employed during the pay-roll period immedi-
ately preceding the date of this Direction, including employees who
did not work during said pay-roll period because they were ill or
on vacation or temporarily laid off, and including 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
ARCHER-DANIELS-MIDLAND CO. 251
to be represented by International Chemical Workers Union, Local
#210, affiliated with the American Federation of Labor, or by
American Federation of Grain Processors, A. F. of L., for the pur-
poses of collective bargaining, or by neither.
ORDER
For the reasons set forth in the section entitled "Statement of the
Case," it is hereby ordered that the Company's request, made at
the hearing, for permission to withdraw its petition in Case No.
17-RE-15 be, and it hereby is, granted.
MR . GERARD D. REILLY took no part in the consideration of the
above Decision, Direction of Election, and Order.