Hershey Chocolate Corp.

National Labor Relations Board - Board Decisions

May 5, 1938

7 N.L.R.B. 14 (N.L.R.B. 1938)

In the Matter Of HERSHEY CHOCOLATE CORPORATION and UNITED
CHOCOLATE WORKERS, LOCAL No. 2, AFFILIATED WITH THE COMMIT-
TEE FOR INDUSTRIAL ORGANIZATION
Case No. C-558.-Decided May 5, 1938
Chocolate Products Manufacturing Industry-Settlement: agreement to com-
ply with Act-Order: entered on stipulation.
Mr. Geoffrey J. Cunniff and Mr. Samuel G. Zack, for the Board.
Mr. William H. Earnest, of Harrisburg, Pa., for the respondent.
Mr. Sydney Handler, of Harrisburg, Pa., for the United.
ITIr. Henry W. Lehmann, of counsel to the Board.
DECISION
AND
ORDER
STATEMENT OF THE CASE
Upon charges duly filed by John E. Loy, business agent of United
`Chocolate Workers, Local No. 2, herein called the United, the Na-
tional Labor Relations Board, herein called the Board, by Stanley W.
Root, Regional Director for the Fourth Region (Philadelphia, Penn-
sylvania), issued its complaint dated April 14, 1938, against Hershey
Chocolate Corporation, Hershey, Pennsylvania, herein called the
respondent, alleging that the respondent in the operation of its plant
in Hershey, Pennsylvania, had engaged in and was engaging in
unfair labor practices affecting commerce within the meaning of
Section 8 (1), (2), and (3) and Section 2 (6j and (7) of the National
Labor Relations Act, 49 Stat. 449, herein called the Act.
In respect to the unfair labor practices, the complaint in substance
alleged that the respondent had dominated and interfered with the
formation and administration of Independent Chocolate Workers
of Hershey, a labor organization of its employees at its plant in
Hershey, Pennsylvania, and had contributed financial and other sup-
port thereto ; that during March, April, and May, 1937, the respond-
ent by threats, the making of speeches, the sale or distribution of
printed propaganda, and by other acts, attempted to discourage its
employees from joining the United; and that the respondent termi-
14
DECISIONS AND ORDERS 15,
nated the employment of 11 named employees, and has at all times
refused to reemploy them, for the reason that said employees joined
and assisted the United and engaged in concerted activities with
other employees at its plant in Hershey, Pennsylvania, for the pur-
pose of collective bargaining and other mutual aid and protection.
Pursuant to notice, a hearing was held in Philadelphia, Pennsyl-
vania, on April 23, 1938, before James C. Batten, the Trial Examiner
duly designated by the Board. Full opportunity to be heard, to
examine and cross-examine witnesses, and to produce evidence bear-
ing upon the issues, was afforded to all parties. Only the Board was
represented by counsel at the hearing.
At the commencement of the hearing, a stipulation effecting a set-
tlement of the case was offered in evidence and made a part of the
record herein. Thereupon the hearing was closed.
On April 25, `1938, Independent Chocolate Workers of Hershey
filed with the Board a petition requesting leave to intervene and a
hearing. Inasmuch as the order issued in this proceeding pursuant to.
the above-mentioned stipulation does not run against the Independent
Chocolate Workers of Hershey, the petition is hereby denied.'
The stipulation signed on behalf of all the parties reads as follows
It is hereby' stipulated by and between Hershey Chocolate
Corporation, respondent herein, United Chocolate Workers,
Local No. 2, a party herein, and the National Labor Relations
Board, that :
I. Upon charges duly filed by the United Chocolate Workers,
Local Union No. 2, the National Labor Relations Board by the
Regional Director for the Fourth Region, acting pursuant to
authority granted in Section 10 (b) of the National Labor Rela-
tions Act (49 Stat. 449) and its Rules and Regulations, Series 1,
as amended, Article 4, Section 1, issued its complaint on the 14th
day of April, 1938, against the Hershey Chocolate Corporation,
respondent herein.
II. Respondent, Hershey Chocolate Corporation, is and has
been since on or about October 24, 1927, a corporation organized
and existing by virtue of the laws of the State of Delaware,
having its office and place of business in the Town of Hershey,
Commonwealth of Pennsylvania, and is now and has continu-
ously been engaged at its place of business in the Town of
Hershey, Commonwealth of Pennsylvania, (hereinafter called
the Hershey Plant) in the manufacture, sale, and distribution
of milk chocolate bars, cocoa, baking chocolate, coatings, cocoa
'See National Labor Relations Board v. Pennsylvania Greyhound Lines, Inc, ancZ
Greyhound Management Company, 303 U. S. 261.
16 NATIONAL LABOR RELATIONS BOARD
butter, milk chocolate peanut bars, milk chocolate almond bars,
cocoa syrup , and milk chocolate kisses.
III. The respondent, Hershey Chocolate Corporation, in the
course and conduct of its business at its Hershey Plant uses,
among other things, the following materials, supplies, or com-
modities : Milk, sugar, butter, chocolate, cocoa, almonds, peanuts,
and cocoa beans; and acquires about 70 per cent of these mate-
rials in States of the United States other than the Common-
wealth of Pennsylvania and from foreign countries, and in the
course and conduct of its business causes and has continuously
caused, approximately 70 per cent of its raw materials to be
transported in interstate commerce from and through States of
the United States other than the Commonwealth of Pennsyl-
vania and from and through foreign countries to its Hershey
Plant in the Commonwealth of Pennsylvania and there these
raw materials are manufactured by the respondent into the prod-
ucts enumerated in paragraph II above.
IV. The respondent, Hershey Chocolate Corporation, manu-
factures the products set forth above in paragraph II at its
Hershey Plant and causes and has continuously caused approxi-
mately 92 per cent of these products produced by it to be sold
and transported in interstate commerce from its Hershey Plant
to, into and through States of the United States other than the
,Commonwealth of Pennsylvania, and to foreign countries.
V. Respondent, Hershey Chocolate Corporation, is engaged in
interstate commerce within the meaning of the National Labor
Relations Act and decisions of the United States Supreme Court
-thereunder.
VI. The respondent, Hershey Chocolate Corporation, in the
course and conduct of its business at its Hershey Plant employs
approximately 3141 employees of which approximately 2424 are
engaged in production and maintenance, 356 constitute the sales
force, 266 are office workers, and 95 are supervisors.
VII. The United Chocolate Workers Local No. 2 is a labor
organization affiliated with the Committee for Industrial Organi-
zation, admitting to its membership employees of the respondent.
VIII. The Independent Chocolate Workers of Hershey is an
unaffiliated labor organization. It admits to its membership
employees of the respondent.
IX. On April 6, 1937, during a strike, a group of Hershey
employees met in the Hershey Theater. At this meeting, a Loyal
Workers Club was organized to secure members loyal to the re-
spondent. At a meeting of the Loyal Workers Club on April
-22, 1937, the Independent Chocolate Workers of Hershey came
DECISIONS AND ORDERS 17
into being. The officers of the Independent Chocolate Workers
of Hershey are the same as the officers of the Loyal Workers
Club.
X. The respondent by its supervisory officials through speeches
and statements to its employees, encouraged membership in the,
Independent Chocolate Workers of Hershey; designated indi-
viduals to act as the employee representatives within the Inde-
pendent Chocolate Workers of Hershey; allowed notices relating
only to the Independent Chocolate Workers of Hershey to be
posted on the bulletin boards; and allowed the collection of dues
and the holding of meetings by the Independent Chocolate
Workers on company time without loss of pay.
XI. Respondent through its supervisory employees has co-
operated in the distribution of printed matter among its em-
ployees and others containing statements adverse to labor
organizations.
XII. The actions of the respondent as set forth in paragraphs
IX, X, and XI hereof occurring in connection with the opera-
tions of the respondent described herein have a close, intimate
and substantial relation to trade, traffic, and commerce among
the several States.
XIII.• This stipulation, together with the charge, complaint,
notice of hearing, and Rules and Regulations of the National
Labor Relations Board, may be introduced as evidence by filing
them with the Chief Trial Examiner of the National Labor
Relations Board at Washington, D. C.
XIV. 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. Respondent, Hershey Chocolate Corporation, will cease and
desist :
(a) Interfering with, restraining or coercing its employees in
the exercise of their rights of self-organization, to form, join,
or assist the United Chocolate Workers Local No. 2 or any other
labor organization, to bargain collectively through represent-
atives of their own choosing, and to engage in concerted activities
for the purpose of collective bargaining or other mutual aid or
protection, as guaranteed under Section 7 of the Act;
(b) Discouraging membership in the United Chocolate Work-
ers, Local No. 2, or any other labor organization of its em-
ployees; by in any manner discriminating against any of its
employees in regard to hire or tenure of employment or any,
term or conditions of employment;
1s NATIONAL LABOR RELATIONS BOARD
(c) Dominating or interfering with the formation or adminis-
tration of the Independent Chocolate Workers of Hershey, or
any other labor organization and shall cease and desist contribut-
ing financial or other support to said Independent Chocolate
Workers of Hershey or any other labor organization, except
that respondent may permit employees to confer with it during
working hours without loss of time or pay.
2. Respondent, Hershey Chocolate Corporation, shall take the
following affirmative action to effectuate the policies of the
National Labor Relations Act :
(a) Withdraw recognition from and disestablish as an agency
of collective bargaining the Independent Chocolate Workers of
Hershey;
(b) Post and keep visible in a prominent place in each depart-
ment of the respondent's Hershey Plant for a period of thirty
(30) days after receipt copies) of the order to be entered by
the National Labor Relations Board;
3. The order shall further provide -that the allegations of
the complaint with respect to discharges shall be dismissed
without prejudice.
ORDER
On the basis of the above stipulation, and pursuant to Section
10 (c) of the National Labor Relations Act, the National Labor
Relations Board hereby orders that Hershey Chocolate Company
and its officers, agents, successors, and assigns shall :
1. Cease and desist from :
(a) Interfering with, restraining, or coercing its employees in the
exercise of their rights of organization, to form, join, or assist
United Chocolate Workers, Local No. 2, or any other labor organiza-
tion, to bargain collectively through representatives of their own
choosing, and to engage in concerted activities for the purpose of
collective bargaining or other mutual aid or protection, as guaranteed
under Section 7 of the Act;
(b) Discouraging membership in United Chocolate Workers, Local,
No. 2, or any other labor organization of its employees by in any,
manner discriminating against any of its employees in regard to hire
or tenure of employment or any term or condition of employment;
(c) Dominating or interfering with the formation or administra-
tion of Independent Chocolate Workers of Hershey, or any other
labor organization, and shall cease and desist from contributing
financial or other support to said Independent Chocolate Workers
of Hershey or any other labor organization, except that Hershey
DECISIONS AND ORDERS 19
Chocolate Corporation may permit employees to confer with it during
working hours without loss of time or pay.
2. Take the following affirmative action to effectuate the policies
of the National Labor Relations Act :
(a) Withdraw recognition from and disestablish as an agency of
collective bargaining the Independent Chocolate Workers of Hershey;
(b) Post and keep visible in a prominent place in each department
of the respondent's Hershey Plant for a period of thirty (30) days
after receipt of the order in this proceeding copies of such order.
And it is further ordered that the complaint be, and it is hereby,
dismissed without prejudice in so far as it alleges that the respondent,
by its officers, agents, and employees, has discriminatorily terminated
the employment of any of its employees for the reason that such em-
ployees have joined and assisted United Chocolate Workers, Local
No. 2, or have engaged in concerted activities with other employees
at the respondent's plant in Hershey, Pennsylvania, for the purpose
of collective bargaining or other mutual aid and protection.