J. H. Stone & Sons

National Labor Relations Board - Board Decisions

Apr 11, 1940

22 N.L.R.B. 850 (N.L.R.B. 1940)

:W
In the Matter of NORMAN H. STONE, MARVIN H. STONE, AND JEROME
H. STONE, JR., DOING BUSINESS AS J. H. STONE & SONS and INTERNA-
TIONAL PRINTING PRESSMEN AND ASSISTANTS' UNION, BOY AND CAR-
TON LOCAL #415
Case No. R-1768.-Decided April 11, 1940
Corrugated Shipping Containers Manufacturing Industry-Investigation of
Representatives : controversy concerning representation of employees : refusal by
employer to recognize union as exclusive representative-Individual Contracts:
held no bar to proceeding-Unit Appropriate for Collective Bargaining : all pro-
duction employees , including foremen but excluding salesmen , office employees,
and superintendents ; stipulation as to-Election Ordered
Mr. Charles F. McErlean , for the Board.
Mr. David Silbert , and Mr. Robert B. Shapiro , of Chicago , Ill., for
the Company.
Mr. Joseph B. Roche, and Mr. Charles Hetzer, of Chicago, Ill., for
the Union.
Mr. Willard Young Morris, of counsel to the Board.
DECISION
AND
DIRECTION OF ELECTION
STATEMENT OF THE CASE
On August 12, 1939, International Printing Pressmen and Assist-
ants' Union, Box and Carton Local #415, herein called the Union,
filed with the Regional Director for the Thirteenth Region (Chicago,
Illinois) a petition and on February 16, 1940, an amended petition
alleging that a question affecting commerce had arisen concerning the
representation of employees of Norman H. Stone, Marvin H. Stone,
and Jerome H. Stone, Jr., doing business as J. H. Stone & Sons,' Chi-
cago, Illinois, herein called the Company, and requesting an investiga-
tion and certification of representatives pursuant to Section 9 (c) of
the National Labor Relations Act, 49 Stat. 449, herein called the Act.
On March 7, 1940, the National Labor Relations Board, herein called
1 Erroneously designated as J H. Stone, Norman H Stone, Marvin H. Stone, and Jerome
H Stone, Jr ., doing business as J. H. Stone & Sons in the amended petition and other
formal papers These were amended at the hearing to state the name of the Company
as set forth in the caption.
22 N. L. R. B., No. 61.
850
NORMAN H. STONE 851
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 2, as amended, ordered an investigation and authorized the
Regional Director to conduct it and to provide for an appropriate
hearing upon due notice.
On March 9, 1940, the Regional Director issued a notice of hearing,
copies of which were duly served upon the Company and the Union.
Pursuant to notice a hearing was held at Chicago, Illinois, on March 21,
1940, before Gustaf B. Erickson, the Trial Examiner duly designated
by the Board. The Board, the Company, and the Union were repre-
sented by counsel and participated in the hearing. 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 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.
At the close of the hearing the Company made a motion to dismiss the
petition, upon which the Trial Examiner did not rule. The motion is
hereby denied.
Upon the entire record in the case, the Board makes the following:
FINDINGS OF FACT
1. THE BUSINESS OF THE COMPANY
The Company, a partnership composed of Norman H. Stone, Marvin
H. Stone, and Jerome H. Stone, Jr., is engaged in the manufacture
and sale of corrugated shipping containers. Its principal office and
place of business is at Chicago, Illinois. During 1939 the Company
purchased approximately $850,000 worth of raw materials, consisting
principally of jute, kraft, and chip straw board. Of this amount
approximately 65 per cent was purchased and shipped from points
outside the State of Illinois to the Company's plant at Chicago. Dur-
ing the same year the Company's total sales of finished products
amounted to approximately $1,400,000, of which amount approxi-
mately 5 per cent was shipped to points outside the State of Illinois.
The Company employs approximately 170 production employees.
II. THE ORGANIZATION INVOLVED
International Printing Pressmen and Assistants' Union, Box and
Carton Local #415, is a labor organization, admitting to membership
production employees of the Company.
852 DECISIONS OF NATIONAL LABOR RELATIONS BOARD
III. THE QUESTION CONCERNING REPRESENTATION
On July 26, 1939, the Union requested an executive of the Company
to meet and bargain collectively with the Union. On August 11,
1939, the Company, through its attorney, refused to bargain collec-
tively, claiming that the Union did not represent a majority of the
employees and that after August 1, 1939, and prior to August 11, 1939,
the Company had signed and executed individual contracts of
employment with a majority of its employees.
We find that a question has arisen concerning representation of
employees of the Company.
IV. THE EFFECT OF THE QUESTION CONCERNINO 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 rela-
tion to trade, traffic, and commerce among the several States, and tends
to lead to labor disputes burdening and obstructing commerce and the
free flow of commerce.
V. THE APPROPRIATE UNIT
The Company and the Union stipulated that an appropriate unit
consists of all the Company's production employees, including fore-
men but excluding salesmen, office employees, and superintendents.
We see no reason for not finding appropriate the unit stipulated by
the parties.
We find that all the Company's production employees, including
foremen but excluding salesmen, office employees, and superintend-
ents, constitute a unit appropriate for the purposes of collective bar-
gaining, and that said unit will afford to such employees the full
benefit of their right to self-organization and to collective bargaining,
and otherwise effectuate the policies of the Act.
VI. THE DETERMINATION OF REPRESENTATIVES
As of March 9, 1940, there were 171 employees in the appropriate
unit. The parties stipulated that
the Petitioner [the Unions has offered to put in evidence its 105
applications for membership in the Union 2 and that the Re-
2A '*Statement of Regional Duector Conceining Claims of Authorization for the
Purpose of Representation ," dated March 20, 1939, and made in connection with his
investigation of the petition in this proceeding, was introduced in evidence and made part
of the record This statement sets foith that the Union submitted 103 cards to the
Regional Director in support of the allegation in the petition that it represents 99
NORMAN H. STONE 853
spondent [the Company] has offered to put in evidence its,111
[individual] contracts . . . for the year 1939 and 151 con-
tracts . . . for the year 1940, but the parties by agreement
have waived the requirement of the Petitioner [the Union] to
put its application cards in evidence and for the Respondent
[the Company] to put its contracts in evidence.
The Company contends that the individual contracts of employ-
ment signed by 111 employees in 1939 and by 151 employees in 1940
are a bar to the present proceeding.3 The Company stipulated that
the employees who signed these individual contracts of employment
do not constitute a labor organization within the meaning of the Act
and that the contracts were not the result of collective action on the
part of the employees. We find that such individual contracts do
not constitute a bar to the present proceeding. The fact that an
employee signs an individual employment contract cannot be held to
reflect the desires of such an employee regarding representation and
does not constitute a bar to collective bargaining on his behalf 4
We find that the question concerning representation which has
arisen can best be resolved by an election by secret ballot. Those
eligible to vote shall be the employees in the appropriate trait who
were employed during the pay-roll period next preceding the date
of the Direction of Election, including those who did not work during
such pay-roll period because they were ill or on vacation and em-
ployees who were then or have since been temporarily laid off, but
excluding employees who have since quit or been discharged for
cause.
Upon the basis of 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 repre-
sentation' of employees of Norman H. Stone, Marvin H. Stone, and
Jerome H. Stone, Jr., doing business as J. H. Stone & Sons, Chicago,
Illinois, within the meaning of Section 9 (c) and Section 2 (6) and (7)
of the National Labor Relations Act.
2. All the Company's production employees, including foremen but
excluding salesmen, office employees, and superintendents, constitute
employees in the appropriate unit , and, inter alia, that the signatures on 73 of the
cards appear to be those of employees in the appropriate unit who are listed on the
Company's pay roll of March 9 , 1939 . At the hearing the Union had two additional cards
which had not been submitted to the Regional Director . This accounts for the offer of
105 cards at the hearing
Forms of the 1939 and 1940 contracts were introduced in evidence.
e Matter of The Gates Rubber Company and Denver Printing Pressmen and Assistants
Union No. 40, and Denver Typographical Union, No . 49, 8 N . L R. B. 303.
283033-41-vol. 22-55
854 DECISIONS OF NATIONAL LABOR RELATIONS BOARD
a unit appropriate for the purposes of collective bargaining within
the meaning of Section 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 Relations
Act, 49 Stat. 449, and pursuant to Article III, Section 8, of National
Labor Relations Board Rules and Regulations-Series 2, as amended,
it is hereby
DIRECTED that, as part of the investigation ordered by the Board to
ascertain representatives for the purpose of collective bargaining with
Norman H. Stone, Marvin H. Stone, and Jerome H. Stone, Jr., doing
business as J. H. Stone & Sons, Chicago, Illinois, an election by secret
ballot shall be conducted as soon 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 Thirteenth 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 production employees of the Company who were employed by
the Company during' the pay-roll period next preceding the date of
this Direction of Election, including foremen and employees who did
not work during such pay-roll period because they were ill or on vaca-
tion and employees who were then or have since been temporarily
laid off, but excluding salesmen, office employees, superintendents, and
employees who have since quit or been discharged for cause, to deter-
mine whether or not they desire to be represented for the purposes of
collective bargaining by International Printing Pressmen and Assist-
ants' Union, Box and Carton Local #415.