Hawkeye Pearl Button Co.

National Labor Relations Board - Board Decisions

May 27, 1938

7 N.L.R.B. 491 (N.L.R.B. 1938)

In the Matter of HAWKEYE PEARL BUTTON COMPANY and AMALGA-
MATED CLOTHING WORKERS OF AMERICA
Case No. C-512 .-Decided May 27 , 1938
Button Manufacturing Industry-Settlement : stipulation providing for rein-
statement of discharged employee with back pay, and of locked-out employees
without back pay-Order : entered on stipulation ; complaint dismissed as to
four employees.
Mr. Hyman Abraham Scltulson, for the Board.
Allbee d Allbee, of Muscatine, Iowa, for the respondent.
Mr. Edgar D. Schultheis, of Muscatine, Iowa, for the Union.
Mr. George Turitz, of counsel to the Board.
DECISION
AND
ORDER
STATEMENT OF THE CASE
Upon charges and amended charges duly filed by Amalgamated
Clothing Workers of America, herein called the Union, through
Edgar D. Schultheis, one of its organizers, the National Labor Rela-
tions Board, herein called the Board, by the Regional Director for
the Thirteenth Region (Chicago, Illinois), issued its complaint and
amended complaint, dated March 23 and March 29, 1938, respec-
tively, against Hawkeye Pearl Button Company, Muscatine, Iowa,
herein called the respondent, alleging that the respondent had en-
gaged in, and was engaging in, unfair labor practices affecting com-
merce within the meaning of Section 8 (1) and (3), and Section 2
(6) and (7), of the National Labor Relations Act, 49 Stat. 449, herein
called the Act.
In respect to the unfair labor practices the amended complaint
alleged in substance that the respondent discharged and has refused
to reinstate Violet Puckett, an employee of the respondent, and
locked out and discharged and has refused to reinstate 59 other em-
ployees of the respondent, for the reason that they joined or assisted
the Union, and engaged in concerted activities with other employees
,of the respondent for the purposes of collective bargaining and other
mutual aid and protection. Copies of the complaint and'amended
491
492 NATIONAI. LABOR RELATIONS BOARD
complaint and notices of hearing thereon were duly served upon the
respondent and the Union.
The respondent filed answers, verified March 28 and April 1, 1938,
respectively , in which it denied all the allegations that it had engaged
in unfair labor practices.
On April 2 , 1938, prior to the hearing , scheduled for April 4, 1938,
the respondent , the Union , and a representative of the Board entered
into a stipulation settling the case, which stipulation was filed with
the Chief Trial Examiner on April 8 , 1938. The stipulation is as
follows :
STIPULATION AND AGREEMENT
It is hereby stipulated amid agreed by and between Hawkeye
Pearl Button Company, hereinafter called the respondent,
Amalgamated Clothing Workers of America, hereinafter called
the Union, and the National Labor Relations Board, hereinafter
called the Board, that :
1. Upon charges duly filed by the Union, through Edgar D.
Schultheis, an accredited agent and representative of the Union
for this purpose, the Board, by Leonard C. Bajork, Regional
Director for the Thirteenth Region, (Chicago, Illinois), acting
pursuant to authority granted in Section 10 (b) of the National
Labor Relations Act, 49 Stat. 449, hereinafter called the Act, and
acting pursuant to Article IV, Section 1, of National Labor
Relations Board Rules and Regulations, Series 1, as amended,
duly issued a complaint and notice of hearing thereon on March
23, 1938, and an amended complaint and notice of hearing thereon
on March 29, 1938, against the respondent. The complaint,
amended complaint, and notices of hearing thereon, as well as
a copy of National Labor Relations Board Rules and Regula-,
tions, Series 1, as amended, were duly served upon the respond-
ent and the Union in accordance with National Labor Relations
Board Rules and Regulations, Series 1, as amended, Article V,
Section 1. A hearing was scheduled for 9:30 a. m. on April
4, 1938, in the City Hall, Third and Sycamore Streets, City of
Muscatine, County of Muscatine, State of Iowa.
2. The respondent is and has been since February 16, 1903, a
corporation organized and existing under and by virtue of the
laws of the State of Iowa, having its principal office and place of
business in the City of Muscatine, County of Muscatine, State of
Iowa, and is now and has continuously been engaged at a place of
business in the City of Muscatine, County of Muscatine, State of
Iowa, in the manufacture, sale and distribution of buttons made
from clam shells.
DECISTO'l\'S AND ORDERS 493,
The respondent iii the course and conduct of its business oper-
ates one large button cutting plant, hereinafter referred to as
plant-"A", ,and a number of small button cutting shops in Musca-
tine, Iowa,`some of which are controlled and directed by the re-
spondent, and others of which are operated by individual pro-
prietors, and another button cutting. plant in Keokuk, Iowa, here-
inafter referred to as plant "B", for the purpose of cutting button
blanks from clam shells. The respondent also operates a button
finishing plant in Muscatine, Iowa, hereinafter referred to as
plant "C", for the purpose of finishing and sorting button blanks
out at plants "A" and "B", and at small button cutting shops in
Muscatine, Iowa, some of which are controlled and directed by the
respondent, and others of which are operated by individual
proprietors.
3. The respondent admits that it is engaged in interstate com-
merce within the meaning of the Act.
The raw materials used by the respondent in the course and
conduct of its business and in the operation of its plants have been
and are as follows : clam shells, coal, bleaching gas, casein, and
granulated quartz, among others. The approximate total cost.
of the raw materials used by the respondent amount to $285,000,
for the period from July 1, 1936, to July 1, 1937. From July 1,
196, to July 1, 1937, the respondent has purchased approximately
60 per cent of its raw materials in States of the United States
other than the State of Iowa. From July 1, 1936, to July 1, 1937,
the respondent, in the course and conduct of its business, causes,
and has continuously caused approximately 23 per cent of the
raw materials used in the production of its finished buttons to be
transported from States of the United States other than the State
of Iowa, to plant "A" and a number of small button cutting shops,
in Muscatine, Iowa, some of which are controlled and directed by
the respondent, and others of which are operated by individual
proprietors, and to plant "B", all located in the State of Iowa..
The button blanks cut in cutting plants "A" and "B" and a num-
ber of small shops in Muscatine, Iowa, some of which are con-
trolled and directed by the respondent, and others of which are
operated by individual proprietors, are finished into buttons in
plant "C", and then sold for use on undergarments, shirts, etc.
From July 1, 1936, to July 1, 1937, the respondent manufactured'
at plant "C", 2,000,000 gross of finished buttons. The approxi-
mate value of the said finished buttons produced by the respond-
ent at plant "C" from July 1, 1936, to July 1, 1937, amounted to-
$554,000. From July 1, 1936, to July 1, 1937, the respondent has,
shipped by rail and truck approximately 90 per cent of the entire-
494
NATIONAL LABOR RELATIONS BOARD
output of finished buttons manufactured at plant "C", from plant
"C" to purchasers in all parts of the United States.
4. The Amalgamated Clothing Workers of America is a labor
organization within the meaning of Section 2 (5) of the Act.
5. The respondent, while engaged at plant "C", on April 10,
1937, discharged Violet Puckett, for the reason that she joined
and assisted the Union, and engaged in concerted activities with
-other employees in plants "A" and "C" for the purposes of collec-
tive bargaining and other mutual aid and protection.
On or about July 1, 1937, the respondent, while engaged in the
operations above described at plants "A" and "C" in Muscatine,
Iowa, stopped its operations at plant "A", locked out and dis-
,charged, and has at all times since said date refused to reinstate
a large number of its employees, named in Appendix A, a copy
of which is hereto attached,' for the reason that they were engag-
ing in labor union activities and were assisting in the formation
-and administration of the Union, or had become members thereof,
.and engaged in concerted activities with other employees in plants
"A" and "C" for the purposes of collective bargaining and other
mutual aid and protection.
By discharging Violet Puckett and the employees named in
Appendix A, the respondent has discriminated against its em-
ployees with respect to hire and tenure of employment for the
purpose of discouraging membership in the Union, and that by
-such acts the respondent has interfered with, restrained, and
-coerced its employees in the exercise of the rights guaranteed in
Section 7 of the Act.
The acts of the respondent in discharging and refusing to rein-
state Violet Puckett and the employees named in Appendix A,
,constitute violations of Section 8 (1) and (3) of the Act, as alleged
in the amended complaint, and said acts occurred in connection
with the operations of the respondent described herein, and have,
and have had, a close, intimate, and substantial relation to trade,
traffic, and commerce among the several States, and have led and
tend to lead to labor disputes burdening and obstructing com-
merce and the free flow of commerce.
6. The respondent will cease and desist from :
(a) 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
concerted activities for the purpose of collective bargaining and
1 Appendix A is omitted from the copy here set forth of the stipulation . It is identical
-with appendix A attached to the Board' s order below. .
DECISIONS AND ORDERS 495
other mutual aid or protection, as guaranteed in Section 7 of the
Act.
(b) Discouraging membership in Amalgamated Clothing
Workers of America, or any other labor organization of its em-
ployees, by discriminating in regard to hire or tenure of em-
ployment or any terms or conditions of employment.
7. The respondent will offer Violet Puckett immediate and full
reinstatement to her former position without prejudice to her
seniority and other rights and privileges, and pay back pay to,
Violet Puckett in the amount of $459.92. The respondent will
deposit this money with the Muscatine Bank and Trust Company,
to the account of Harold E. Wilson, as trustee, for Violet Puckett
upon the following terms and conditions : Upon approval of this
stipulation and agreement by the National Labor Relations.
Board, Harold E. Wilson, Trustee, will pay to Violet Puckett
$459.92. Upon notice by the National Labor Relations Board of
their failure to approve this agreement and stipulation, the $459.92'
is to revert back immediately to the respondent.
8. The respondent will offer to the employees listed in Appendix
A., attached hereto, immediate and full reinstatement, without
back pay, to their former positions, or to positions similar and
substantially equivalent to those positions held by said employees
prior to the lockout on July 1, 1937, either in Plant "A", or the
Teichmiller Cutting Plant, or any other button cutting shops in
Muscatine, Iowa, which are controlled and directed by the
respondent, without prejudice to their seniority and other rights
and privileges, dismissing all persons who had been hired by the
respondent for the first time since July 1, 1937, in plant "A", or
the Teichmiller Plant, or any other button cutting shops in Mus-
catine, Iowa, which are controlled and directed by the respondent.
If, after reinstating the employees listed in Appendix A, the
respondent determines that business conditions do not require its
entire working force, it may reduce its staff, provided the reduc-
tion is made without discrimination against employees because
of their union activities or affiliation, following a system of-
seniority and efficiency.
9. The respondent waives its right to hearing as set forth in,
Section 10 (b) and (c) of the Act.
10. This stipulation and agreement, along with the amended
charge, the complaint, the answer to the complaint, motion for-
continuance, the amended complaint, the answer to the amended
complaint, notices of hearing, affidavits of service, the order of-
the Regional Director denying the continuance, and National
Labor Relations Board Rules and Regulations-Series 1, as
amended, may be introduced as evidence by filing them with the-
-496 NATIONAL LABOR RELATIONS BOARD
Chief Trial Examiner of the,National Labor Relations Board
at Washington, D. C.
11. Upon this stipulation, if approved by the National Labor
Relations Board, an order may forthwith be entered by said
Board and by the appropriate Circuit Court of Appeals providing
as follows :
(1) The respondent, Hawkeye Pearl Button Company will
cease and desist from violating the Act by :
(a) 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
concerted activities for the purpose of collective bargaining and
other mutual aid or protection, as guaranteed in Section 7 of the
Act.
(b) Discouraging membership, in Amalgamated Clothing
Workers of America, or any other labor organization of its em-
ployees, by discriminating in regard to hire or tenure of employ-
ment or any terms or conditions of employment.
(2) The respondent, Hawkeye Pearl Button Company, will
take the following affirmative action to effectuate the policies
of the National Labor Relations Act :
(a) Offer Violet Puckett immediate and full reinstatement to
her former position without prejudice to her seniority and other
-rights and privileges.
(b) Pay back pay immediately to Violet Puckett in the
amount of $459.92.
(c) Offer to the employees listed in Appendix A., attached
hereto, immediate and full reinstatement, without back pay, to
-their former positions, or to positions similar and substantially
equivalent to those positions held by said employees prior to the
lockout on July 1, 1937, either in plant "A", or the Teichmiller
'Cutting Plant, or any other button cutting shops in Muscatine,
Iowa, which are controlled and directed by the respondent with-
out prejudice to their seniority or other rights and privileges,
dismissing all persons who had been hired by the respondent for
the first time since July 1, 1937, in plant "A", or the Teich-
miller Plant, or any other button cutting shops in Muscatine,
Iowa, which are controlled and directed by the respondent. If,
after reinstating the employees listed in Appendix A, the re-
spondent determines that business conditions do not require its
entire working force, it may reduce its staff, provided the reduc-
tion is made without discrimination against employees because
of their union activities or affiliation, following a system of
seniority and efficiency.
DECISIONS AND ORDERS 497
(d) Post immediately in a conspicuous place at plants "A",
"C", the Teichmiller Cutting Plant, and any other button cut-
ting shops in Muscatine, Iowa, which are controlled and directed
by the respondent, notices for a period of thirty (30) days after
receipt of copies of the order to be entered by the National Labor
Relations Board to be made hereon.
IN WITNESS WHEREOF the parties hereto have caused their hands
and seals to be affixed on this 2nd day of April, A. D., 1938.
HAWKEYE PEARL BUTTON COMPANY,
AN IOWA CORPORATION,
By (S) F. W. HERMANN, Secy. (Title.)
AMALGAMATED CLOTHING
WORKERS OF AMERICA,
By (s) EDGAR D. SCHULTHEIS, Organizer. (Title.)
LEONARD C. BAJORK, Regional Director,
By (s) HYMAN ABRAHAM SCHULSON, Attorney,
For National Labor Relations Board.
By order dated April 11, 1938, the Board, pursuant to Article II,
;Section 37, of National Labor Relations Board Rules and Regula-
tions-Series 1, as amended, ordered that the proceeding be trans-
ferred to and continued before the Board. The Board hereby
approves the stipulation referred to.
Upon the basis of the above stipulation and the entire record in
the case the Board makes the following :
FINDINGS OF FACT
1. THE BUSINESS OF THE RESPONDENT
Hawkeye Pearl Button Company is an Iowa corporation, having
its principal office. and place of business in the city of Muscatine,
Iowa. It is engaged in the business of the manufacture, sale, and
-distribution of buttons made of clam shells. It operates two button
cutting plants, one in Muscatine, herein called Plant "A," and the
-other in Keokuk, Iowa, herein called Plant "B," and a button finish-
ing and sorting plant in Muscatine, herein called Plant "C." It is
-stated also in the stipulation referred to above: "The respondent in
the course and conduct of its business operates . . . a number of
small button cutting shops in Muscatine, Iowa, some. of which are
controlled and directed by the respondent and others of which are
operated by individual proprietors . . ." The button blanks cut
'in Plants "A" and "B" and in the other button cutting shops men-
tioned are made into finished buttons at Plant "C."
The raw materials used by the respondent in the operation of its
business are clam shells, coal, bleaching gas, casein, granulated quartz,
498 NATIONAL LABOR RELATIONS BOARD
and other materials. During the period from July 1, 1936 to July
1, 1937, the respondent used in its business raw materials costing
$285,000, of which approximately 60 per cent were purchased outside
of the State of Iowa. During the same period the respondent manu-
factured at its button finishing and sorting plant two million gross of
finished buttons, amounting in value to $554,000, of which approxi-
mately 90 per cent were shipped to purchasers in all parts of the
United States. The respondent admits it is engaged in interstate
commerce within the meaning of the Act.
II. THE ORGANIZATION INVOLVED
Amalgamated Clothing Workers of America is a labor organization
affiliated with the Committee for Industrial Organization.
III. THE UNFAIR LABOR PRACTICES
We find that on April 10, 1937, the respondent, while engaged at
Plant "C," discharged Violet Puckett, an employee at Plant "C," and
has at all time since that date refused to employ her, for the reason
that she joined and assisted the Union, and engaged in concerted
activities with other employees in plants "A" and "C" for the
purposes of collective bargaining and other mutual aid and
protection.
We find that on or about July 1, 1937, the respondent, while en-
gaged in the operations above described at plants "A" and "C,"
stopped its operations at Plant "A," locked out and discharged, and
has at all times since that date refused to reinstate, a large number
of its employees, named in appendix A attached hereto, for the rea-
son that they were engaging in labor union activities and were assist-
ing in the formation and administration of the Union, or had become
members thereof, and engaged in concerted activities with other em-
ployees in plants "A" and "C" for the purposes of collective bargain-
ing and other mutual aid and protection.
We find that by the acts mentioned above the respondent has dis-
criminated against its employees with respect to hire and tenure of
employment for the purpose of discouraging membership in the
Union, and has interfered with, restrained, and coerced its employees,
in the exercise of rights guaranteed in Section 7 of the Act.
Since four employees named in the complaint are not mentioned
in the stipulation, we shall, as to them, dismiss the complaint without
prejudice.
IV. THE EFFECT OF THE UNFAIR LABOR PRACTICES UPON COMMERCE
We find that the acts of the respondent set forth in Section III
above, occurring in connection with the operations of the respondent
DECISIONS AND ORDERS 499
described in Section I above, have a close; intimate, and -substantial
relation to trade, traffic, and commerce among the several States, and
have led and tend to lead to labor disputes burdening and obstructing
commerce and the free flow of commerce.
ORDER
On the basis of the above findings of fact and the above stipula-
tion, and upon the entire record in the case,"and pursuant to Section
10 (c) of the National Labor Relations Act, the National Labor
Relations Board hereby orders:
1. That the respondent, Hawkeye Pearl Button Company, Musca-
tine, Iowa, shall cease and desist from violating the Act by :
(a) 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 concerted
activities for the purpose of collective bargaining and other mutual
aid or protection, as guaranteed in Section 7 of the Act;
(b) Discouraging membership in Amalgamated Clothing Workers
of America, or any other labor organization of its employees, by dis-
criminating in regard to hire or tenure of employment or any terms
or conditions of employment.
2. That the respondent, Hawkeye Pearl Button Company, take the
following affirmative action, which the Board finds will effectuate
the policies of the National Labor Relations Act:
(a) Offer Violet Puckett immediate and full reinstatement to her
former position without prejudice to her seniority and other rights
and privileges;
(b) Pay back pay immediately to Violet Puckett in the amount of
$459.92;
(c) Offer to the employees listed in appendix A, attached hereto,
immediate and full reinstatement, without back pay, to their former
positions, or to positions similar and substantially equivalent to those
positions held by said employees prior to the lock-out on July 1, 1937,
either in plant "A", or the Teichmiller Cutting Plant, or any other
button cutting shops in Muscatine, Iowa, which are controlled and
directed by the respondent, without prejudice to their seniority or,
other rights and privileges, dismissing all persons who had been hired
by the respondent for the first time since July 1, 1937, in plant "A",
or the Teichmiller Plant, or any other button cutting shops in Musca-
tine, Iowa, which are controlled and directed by the respondent.
If, after reinstating the employees listed in appendix A, the respond-
ent determines that business conditions do not require its entire work-
ing force, it may reduce its staff, provided the reduction is made
500 NATIONAL LABOR RELATIONS BOARD
without discrimination against employees because of their union
activities or affiliation , following a system of seniority and efficiency ;
(d) Post immediately in a conspicuous place at plants "A", "C",
the Teichmiller Cutting Plant, and any other button cutting shops-
in Muscatine , Iowa, which are controlled and directed by the respond-
ent, notices for a period of thirty ( 30) days after receipt of copies
of this order.
It is further ordered , that with respect to C. R. Brewer , James.
Elliott, Hubert Powell , and Fred Schuster , the complaint be, and
it hereby is, dismissed without prejudice.
APPENDIX A
Guy R. Barickman
Lemuel Burrows
Jesse Coulter
Leonard Coulter
Andrew Diercks
Dewey Doak
H. Dohse
Leonard Dohse
John Fick
Edgar L. Fletcher
Carl Gabriel
Matt Gillion
Henry Hagerman
W. H. Honeycutt
Edward N. Jones
Jack Kneer
J. Knowles
Tom Land
John Lane
Francis Law
F. Lawrence
B. H. Lawson
James Kochneff
O. L. McGrew
Lloyd McKillip
Noah Means
Fred G Miller
N. M. Morris
Ed Neely
Chester Newton
H. C. Newton
Dale Noble
Harry Noble
A. Osborn
Dick Osborn
Bert E. Paul
H. Petersdorf
John Plank
Wm. Pohlman
John Powell
Gene Proffitt
G. O. Rasley
M. Raushenberger
R. Raushenberger
Fred Ray
Fred Richardson
Fred Richardson, Jr.
J. W. Richardson
Joe Ryan
Edward Smith
B. W. Stump
Andrew Thorn
William Tobias
Otto Valley
Robert Warren,
Harry Wilson,