Brown Shoe Co., Inc.

National Labor Relations Board - Board Decisions

Feb 11, 1938

5 N.L.R.B. 212 (N.L.R.B. 1938)

In the Matter of BROWN SHOE COMPANY, INC. , and BOOT & SHOE
WORKERS' UNION, LOCAL 649
Cases Nos. C-376 and R-5,57.-Decided February 11, 1938
Shoe Manufacturing Industry-Settlement : agreement to comply with Act-
Order: entered on stipulation-Investigatwon of Representatives : agreement for
election-Election ordered
Mr. Herbert N. Shenkin, for the Board.
Nagel, Kirby, Orrick & Shepley, by Mr. Dwight D. Ingamells, of
St. Louis, Mo., for the respondent.
Mr. William P. Dennigan, of Vincennes, Ind., for the Union.
Kessinger, Hill cC Arterburn, by Mr. W. H. Hill and Mr. N. F..
Arterburn, for the Association.
Mr. Abraham L. Kaminstein, of counsel to the Board.
DECISION
ORDER
AND
DIRECTION OF ELECTION
STATEMENT OF THE CASE
On September 16, 1937, Boot & 'Shoe Workers' Union, Local 649,
herein called the Union, filed with the Regional Director for the
Eleventh Region (Indianapolis, Indiana) a petition alleging that a
question affecting commerce had arisen concerning the representation
of employees of Brown Shoe Company, Inc., St. Louis, Missouri,
herein called the respondent, at its Vincennes, Indiana, plant, 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 October 11, 1937, the Union filed
with the Regional Director amended charges alleging that the re-
spondent had engaged in and was engaging in unfair labor prac-
tices affecting commerce within the meaning of the Act. On Novem-
ber 1, 1937, the National Labor Relations Board, herein called the
Board, acting pursuant to Article III, Sections 3 and 10 (c) (2), and
Article II, Section 37 (b), of National Labor Relations Board Rules
and Regulations-Series 1, as amended, ordered a consolidation of
these cases and ordered an investigation of representatives, author-
212
DECISIONS AND ORDERS 213
izii:g 'the Regional Director to conduct it and to provide for an ap-
propriate hearing upon due notice.
Upon the amended charges, the Board, by the Regional Director,
issued its amended complaint dated November 2, 1937, against the
respondent, alleging that the respondent had engaged in unfair labor
practices affecting commerce within the meaning of Section 8 (1),
(2). (3), and (5) and Section 2 (6) and (7) of the Act. The
amended complaint and notice of hearing thereon, together with a
notice of hearing on the petition for investigation of representatives,
were duly served upon the respondent, the 'Union, and the Employees
Welfare Association, herein called the Association, a labor organiza-
tion having members among the respondent's employees. On Novem-
ber 13, 1937, the respondent filed its answer, in which it denied the
unfair labor practices, admitted the allegations of fact in the com-
plaint with respect to the interstate character of its business, but
denied that these activities affected commerce.
On November 24, 1937, the Association filed a motion to be per-
mitted to intervene in the proceedings based upon the complaint,
which motion was granted by the Regional Director on November 26,
1937. On November 30, 1937, at the hearing, the Association filed a
motion to be permitted to intervene in the proceedings based upon
the petition for investigation of representatives, which motion was,
granted by the Trial Examiner.
Pursuant to notice and amended notice to the respondent, the,
Union, and the Association, a hearing on both the petition and the,
complaint was held at Vincennes, Indiana, on November 29 and 30,,
and December 1, 1937, and on January 20 and 24, 1938, before Alvin
J. Rockwell, the Trial Examiner duly designated by the Board. The
Board, the respondent, the Union, and the Association were repre-
sented by counsel.
I
Upon the record in the case, the Board makes the following :
FINDINGS OF FACT
THE BUSINESS OF THE RESPONDENT i
The respondent, Brown Shoe Company, Inc., originally organized
in 1879 as a Missouri corporation, became a New York corporation
in 1913, with its principal office and principal place of business in
the City of St. Louis, Missouri. It is engaged in the manufacture,
production, sale and distribution of a complete line of a medium,
priced men's, women's and children's shoes.
1 A more complete and detailed description of the business of the respondent is given in
the Board 's prior decision , Matter of Brown Shoe Company, Inc., a Corporation and Boot
and Shoe Workers' Union, Local No. 655, 1 N L. R. B, No. 803.
214 NATIONAL LABOR RELATIONS BOARD
The respondent is the third largest shoe manufacturing coiiipany
in the United States. Its stock is listed on the New York and St.
Louis stock exchanges. It owns and operates fifteen plants, located
in Missouri, Illinois, Indiana, and Tennessee. Through its wholly
owned subsidiary, the Moench Tanning Company, Inc., it operates
two tanning plants in Gowanda, New York. For the year ending
October 31, 1936, the respondent's gross sales amounted to
$24,011,356.97.2
The Vincennes, Indiana, plant is directly under the supervision
of the St. Louis office. It manufactures a stitch-down shoe for the
popular and low-price fields. The plant receives its raw material
from the respondent's warehouses in St. Louis.. It does not ship its
product directly to the consumer or the wholesale merchant, but
bills all its finished product to the St. Louis office. Thus, the plant
receives all its raw materials, in the form of leather, cotton goods,
rubber, and various small items, from the St. Louis warehouses, and
ships all its product back to the warehouses.
We find that the respondent's operations at the Vincennes, Indiana,
plant constitute a continuous flow of trade, traffic, and commerce
among the several States and with foreign countries.
II
On January 24, 1938, during the hearing, all parties, including
the Board, the respondent, the Union, and the Association, by their
respective counsel, entered into two stipulations which are incor-
porated as exhibits in these proceedings. The first stipulates that,
on the basis of the record and the stipulation, an order may be
entered by the Board and, if necessary, upon application by the
Board, by the Circuit Court of Appeals for the appropriate Circuit.
The stipulation continues as follows :
1. Respondent will cease and desist as follows :
(a) From in any manner interfering with, restraining or
coercing its employees in the exercise of their rights to self-
organization, to form, join, or assist labor organizations, to
bargain collectively through- representatives of their own choos-
ing and to engage in concerted activities for the purpose of
collective bargaining or other mutual aid or protection, as
guaranteed in Section 7, of the National Labor Relations Act;
(b) From spying on meetings of the Union, or in any other
manner attempting to apprise itself of activities of the Union,
or attempting to find out which of its employees are members of
the Union;
2 Board Exhibit No. 7, Annual Report filed pursuant to the Securities Exchange Act of
1934, as amended, on January 28, 1937.
DECISIONS AND ORDERS 215
(c) From in any manner influencing , inducing and causing
citizens , civic bodies , or public officials to interfere , restrain
or coerce its employees in the exercise of the rights guaranteed
in Section 7 of the National Labor Relations Act;
(d) From dominating or interfering with the formation or
administration of the Association , or any other labor organiza-
tion, and from contributing financial or other support to the
Association , or any other labor organization;
(e) From discouraging membership in the Union, or in any
other labor organization of its employees ; by discharging
threatening, or refusing to reinstate any of its employees for
joining the Union, or any other labor organization of its
employees ;
(f) From in any other manner discriminating against any of
its employees in regard to hire or tenure of employment for
joining the Union, or any other labor organization of its em-
ployees;
(g) From recognizing, in any event , the Association as a bar-
gaining agency in respect to rates of pay, wages , hours of em-
ployment, and other conditions of employment for a period of
six (6 ) months from the date this order is entered by the Board;
(h) From refusing to recognize the Union as the exclusive
representative of its production and maintenance employees, ex-
cluding supervisory and office employees, for a period of one (1)
year in the event the Union wins the election provided for in
the stipulation entered into on this date in the Representation
case ( XI-R-74 ),3 and in the event the Board certifies the Union
as such exclusive representative.
2. The Respondent shall take the following affirmative action
to effectuate the policies of the National Labor Relations Act :
(a) Offer to Edmund Kaiser, Orville Hoffman, Louis Young-
staffle, Otto Muchmore , John Walker , Charles Preusz and Harvey
Hendrixson , full and complete reinstatement to their former
positions, without prejudice to any rights and privileges previ-
ously enjoyed or accruing to them, such reinstatement to be
offered within 15 days from the entering of this order by the
Board ;
(b) Make whole the men listed below for any losses of pay they
have suffered by their discharge, by payment to each of them,
respectively , a sum equal to that which each would normally have
earned as wages during the period from the date of his discharge
to the date he is offered reemployment as ordered hereunder, or
8 Rr557.
80535-38-15
216 NATIONAL LABOR RELATIONS BOARD
to the date of this order, as the case may be, less amounts earned
by each during each period, which sum agreed to be paid to each
man is as set forth opposite his name below :
Edmund Kaiser____________________________________ $319. 00
Orville Hoffman ------------------------------------ 580.00
Otto Muchmore____________________________________ 520.00
John Walker --------------------------------------- 312.00
Charles Preusz ------------------------------------- 236.00
Harvey Hendrixson_________________________________ 221.00
Austin Bilskie_____________________________________ 354. 00
John F. Hensley------------------------------------ 268.00
Floyd Clark---------------------------------------- 357. 00
Troy Hale ------------------------------------------ 800.00
Floyd Deem---------------------------------------- 800 00
(c) Withdraw recognition from the Association for a period
of six (6) months as an agency of collective bargaining in re-
spect to rates of pay, wages, hours of employment, or other
conditions of employment;
(d) Immediately post and keep visible in at least three (3)
prominent places in the Vincennes Plant for a period of thirty
(30) days from the date of posting, notices stating that the
Respondent will cease and desist as provided in paragraphs 1 (a)
through 1 (h) above, and will take the affirmative action pro-
vided in paragraph 2 (c) above, which notices shall repeat the
contents of the above-mentioned paragraphs.
3. The amended complaint is dismissed as to Floyd Thompson.
4. The amended complaint is dismissed as to the allegations
that the Respondent has violated Section 8 (5) of the National
Labor Relations Act.
The second stipulation provides for the entry of a Direction of
Election by the Board, to provide, "in substance, as follows" :
1. There shall be held forthwith, and in no event later than
March 1, 1938, an election under the auspices of the Board,
in accordance with its usual procedure, among the production
and 'maintenance employees, excluding supervisory and office
employees, at the Company's plant at Vincennes, Indiana.
'2. All production and maintenance employees, as aforesaid,
on the pay roll for the week ending July 31st, 1937, except only
any employees who have, since such date, voluntarily left the
employment of the Company or been discharged for proper
cause shall be eligible to vote in said election.
3. The ballot used in such election shall' give the voters an
opportunity to indicate whether or not they wish to be repre-
sented by the Union (Boot & Shoe Workers' Union, Local No.
649), and the name of no other labor organization 'shall be placed
on such ballot.
DECISIONS AND ORDERS 217
4. In the event that, on the basis of such election, the Board
shall certify the Union as the exclusive representative of the
production and maintenance workers, as aforesaid, such certifi-
cation shall be effective for the period of one (1) year from the
date thereof.
On the basis of the above stipulations, the Board will issue an
Order and a Direction of Election.
ORDER
On the basis of the above findings of fact and stipulations, and
pursuant to Section 10 (c) of the National Labor Relations Act, the
National Labor Relations Board hereby orders that Brown Shoe
Company, Inc., St. Louis, Missouri, and its officers, agents, successors,
and assigns, shall :
1. Cease and desist :
(a) From in any manner interfering with, restraining or coercing
its employees in the exercise of their rights to self-organization, to
form, join, or assist labor organizations, to bargain collectively
through representatives of their own choosing and to engage in con-
certed activities for the purpose of collective bargaining or other
mutual aid or protection, as guaranteed in Section 7, of the National
Labor Relations Act;
(b) From spying on meetings of the Union, or in any other
manner attempting to apprise itself of activities of the Union, or at-
tempting to find out which of its employees are members of the
Union ;
(c) From in any manner influencing, inducing and causing citi-
zens, civic bodies, or public officials to interfere, restrain or coerce its
employees in the exercise of the rights guaranteed in Section 7 of the
National Labor Relations Act;
(d) From dominating or interfering with the formation or ad-
ministration of the Association, or any other labor organization, and
from contributing financial or other support to the Association, or
any other labor organization ;
(e) From discouraging membership in the Union, or in any other
labor organization of its employees by discharging, threatening, or
refusing to reinstate any of its employees for joining the Union,
or any other labor organization of its employees;
(f) From in any other manner discriminating against any of its
employees in regard to hire or tenure of employment for joining
the Union, or any other labor organization of its employees;
(g) From recognizing, in any event, the Association as a bar-
gaining agency in respect to rates of pay, wages, hours of employ-
218 NATIONAL LABOR RELATIONS-BOARD
merit, and other conditions of employment for a period of six (6)
months from the date this order is entered by the Board;
(h) From refusing to recognize the Union as the exclusive repre-
sentative of its production and maintenance employees, excluding
supervisory and office employees, for a period of one (1) year in the
event the Union wins the election provided for in the accompanying
Direction of Election, and in the event the Board certifies the Union
as such exclusive representative.
2. Take the following affirmative action to effectuate the policies of
the National Labor Relations Act :
(a) Offer to Edmund Kaiser, Orville Hoffman, Louis Young-
staffie, Otto Muchmore, John Walker, Charles Preusz and Harvey
Hendrixson, full and complete reinstatement to their former posi-
tions, without prejudice to any rights and privileges previously en-
joyed or accruing to them, such reinstatement to be offered within
15 days from the entering of this order by the Board;
(b) Make whole the men listed below for any losses of pay they
have suffered by their discharge, by payment to each of them, respec-
tively, a sum equal to that which each would normally have earned
as wages during the period from the date of his discharge to the
date he is offered reemployment as ordered hereunder, or to the date
of this order, as the case may be, less amounts earned by each during
each period, which sum agreed to be paid to each man is as set forth
opposite his name below :
Edmund Kaiser---------------------------------------- $319.00
Orville Hoffman---------------------------------------- 580.00
Otto Muchmore----------------------------------------- 520.00
John walker------------------------------------------- 312.00
Charles Preusz-----------------------------------------
Harvey Hendrixson-------------------------------------
Austin Bilskie------------------------------------------
John F. Hensley----------------------------------------
Floyd Clark--------------------------------------------
Troy Hale----------------------------------------------
Floyd Deem--------------------------------------------
230. 00
221. 00
354 00
268. 00
357. 00
800.00
800.00
(c) Withdraw recognition from the Association for a period of
six (6) months as an agency of collective bargaining in respect to
rates of pay, wages, hours of employment, or other conditions of em-
ployment;
(d) Immediately post and keep visible in at least three (3) promi-
nent places in the Vincennes Plant for a period of thirty (30) days,
from the date of posting, notices stating that the respondent will cease
and desist as provided in paragraphs 1 (a) through 1 (h) above,
and will take the affirmative action provided in paragraph 2 (c)
above, which notices shall repeat the contents of the above-mentioned
paragraphs.
DECISIONS AND ORDERS 219
And it is further ordered that the allegations in the amended
complaint (1) that the respondent has engaged in unfair labor prac-
tices, within the meaning of Section 8 (3) of the Act, by discharging
and refusing to reinstate Floyd Thompson, and (2) that the respond-
ent has engaged in unfair labor practices, within the meaning of
Section 8 (5) of the Act be, and they hereby are, dismissed.
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 directed by the Board to
ascertain representatives for the purposes of collective bargaining
with Brown Shoe Company, Inc., St. Louis, Missouri, an election
by secret ballot shall be conducted within twenty (20) days from the
date of this Direction, under the direction and supervision of the
Regional Director for the Eleventh Region, acting in this manner as
agent for the National Labor Relations Board, and subject to Article
III, Section 9, of said Rules and Regulations, and in accordance with
the stipulations entered into in this case, among the production and
maintenance employees of Brown Shoe Company, Inc. at its Vin-
cennes, Indiana, plant whose names appear on the pay roll of the,
respondent for the week ending July 31, 1937, exclusive of super-
visory and office employees, and those who have, since July 31, 1937,
voluntarily left the employment of the respondent or been dis-
charged for proper cause, to determine whether or not they desire to
be represented by Boot and Shoe Workers' Union, Local 649, for the
purposes of collective bargaining.