Kennecott Copper Corp.

National Labor Relations Board - Board Decisions

Aug 22, 1945

63 N.L.R.B. 466 (N.L.R.B. 1945)

In the Matter Of ICENNECOTT COPPER CORPORATION and INTERNATIONAL
UNION OF MINE, MILL & SMELTER WORKERS, CIO
Case No. 16-B-1327.-Decided August 22, 1945
Mr. J. F. Woodbury, of Silver City, N. Mex., for the Company.
Mr. Orville Larson, of Globe, Ariz., and Messrs. Verne Curtis and
Asa Bowen, both of Silver City, N. Mex., for the C. I. O.
Messrs. Paul M. Peterson and Cotton Murray, both of Phoenix,
Ariz., Mr. A. J. Reinhard, of Fort Worth, Tex., Mr. Arthur B. Lopez,
of Albuquerque, N. Mex., and Mr. F. J. Broone, of Hurley, N. Mex.,
for the A. F. L.
Mr. David V. Easton, of counsel to the Board.
DECISION
AND
ORDER
STATEMENT OF TUE CASE
Upon a petition duly filed by International Union of Mine, Mill &
Smelter Workers, CIO, for itself and on behalf of Locals Nos. 63 and
69, herein collectively called the C. I. 0., alleging that a question affect-
ing commerce had arisen concerning the representation of employees
of Kennecott Copper Corporation, Hurley and Santa Rita, New Mex-
ico, herein called the Company, the National Labor Relations Board
provided for an appropriate hearing upon due notice before Glenn L.
Moller, Trial Examiner. Said hearing was held at Silver City, New
Mexico, on May 31, 1945. The Company; the C. I. 0.; and Chino
Metal Trades Council of Grant County, New Mexico, herein called the
Council; International Union of Operating Engineers, AFL, Local
870, herein called the Engineers; International Brotherhood of Black-
smiths, Drop-Forgers and Helpers, AFL, Local Union No. 606, herein
called the Blacksmiths; and International Brotherhood of Boiler-
makers, Iron Shipbuilders and Helpers of America, AFL, Local Union
No. 632, herein called the Boilermakers, referred to hereinafter col-
lectively as the A. F. L., appeared, participated, and were afforded
full opportunity to be heard, to examine and cross-examine witnesses,
and to introduce evidence bearing on the issues. The A. F. L. moved
63 N. L . R. B., No. 72.
466
KENNECOTT COPPER CORPORATION 467
at the hearing to dismiss the petition in this proceeding . The Trial
Examiner reserved ruling upon this motion for the Board. For rea-
sons hereinafter set forth in Section III herein , the motion is granted.
The Trial Examiner 's rulings made at the hearing are free from preju-
dicial error and are hereby affirmed. All parties were afforded an
opportunity to file briefs with the Board.
Upon the entire record in the case , the Board makes the following :
FINDINGS OF FACT
1. THE BUSINESS OF TILE COMPANY
Kennecott Copper Corporation is a New York corporation. Its
Chino Mines Division , with which we are concerned herein, operates
an open pit copper mine at Santa Rita, New Mexico , from which the
copper ore is shipped to the Company 's mill and smelter at Hurley,
New Mexico , where the ore is concentrated . During the year 1944,
the Company produced copper and other derivative products from
its Santa Rita mine having a gross value of approximately $17,000,000,
all of which were ultimately shipped outside the State of New Mexico.
During the same period , the Company received at its Santa Rita and
Hurley operations materials and supplies valued at approximately
$3,000,000 from points outside the State of New Mexico.
We find that the Company is engaged in commerce within the
meaning of the National Labor Relations Act.
II. THE ORGANIZATIONS INVOLVED
International Union of Mine, Mill '& Smelter Workers, and its
Locals Nos . 63 and 69, are labor organizations affiliated with the Con-
gress of Industrial Organizations , admitting to membership em-
ployees of the Company.
Chino Metal Trades Council of Grant County, New Mexico; Inter-
national Union of Operating Engineers , Local 870; International
Brotherhood of Blacksmiths , Drop-Forgers and Helpers , Local Union
No. 606; and International Brotherhood of Boilermakers , Iron Ship-
builders and Helpers of America, Local Union No. 632, are labor or-
ganizations affiliated with the American Federation of Labor, ad-
mitting to membership employees of the Company.
III. THE ALLEGED QUESTION CONCERNING REPRESENTATION
By letter dated April 20, 1945, the C. I. O. requested recognition
from the Company as the collective bargaining representative of cer-
tain groups of the latter 's employees , presently represented by the
Engineers , the Blacksmiths , and the Boilermakers. The Company
662514-46-vol 63-31
468 DECISIONS OF NATIONAL LABOR RELATIONS BOARD
refused such recognition , contending, as does the A. F. L., that a con-
tract between the Company and the A. F. L.1 executed February 10,
1945, retroactive to June 12, 1944, and terminating on June 12, 1946,
constitutes a bar to such recognition.
On June 25, 1943, the A. F. L. and the Company executed a collec-
tive bargaining agreement retroactive to June 12, covering, inter alia,
the employees involved herein. Although otherwise complete, this
document on its face indicated disagreement between the parties with
respect to certain provisions such as union security, wages, and travel
time allowance , which were submitted by the parties to the National
War Labor Board. On June 1, 1944, many of the issues between the
parties still having been unresolved, the A. F. L. and the Company
executed an interim agreement, providing that "Until such time as
[the] issues are resolved by the [National War Labor Board] the
agreement of June 25, 1943, will remain in effect." On August 25,
1944, the National War Labor Board issued its Directive resolving
all issues between the parties except that of travel time allowances.
However, a petition for reconsideration of the Directive was filed by
the A. F. L., and it was not until December 13, 1944, when the appeal
was denied, that the parties were prepared to negotiate an agreement
under the terms of the Directive. Because of prior commitments of
the Company to other labor organizations with which it was dealing,
the parties were unable to commence negotiations on a new agree-
ment which would incorporate the terms of the Directive until Janu-
ary 29, 1945. On February 10, 1945, the negotiations between the
parties resulted in the execution of a 2-year contract retroactively
effective as of June 12, 1944, the termination date of the prior agree-
ment. As noted above, the C. I. O. asserted its claim in April 1945,
after execution of the foregoing contract.
The C. I. O. contends that the contract executed February 10, 1945,
does not constitute a bar to a current determination because (a) it
is incomplete, and (b) it provides for a 2-year term, which is unrea-
sonable in the light of the collective bargaining in the non- ferrous
mining industry.
With respect to the completeness of the contract, the record dis-
closes that all substantive provisions normally included in collective
bargaining agreements were incorporated therein, and that the docu-
ment, on its face, was complete. The C. I. O.'s- contention refers
solely to the fact that no mention was made in the contract as to
travel time allowances, the one remaining unresolved issue between
the parties. However, the record further reveals that even this item
' The contract recites that the contract is between the Company and labor organizations
affiliated with the Council, among which are the Engineers, the Boilermakers, and the
Blacksmiths
KENNECOTT COPPER CORPORATION 469
was no longer an issue between the parties because, at the time the
contract was executed, they agreed to apply to the employees repre-
sented by the A. F. L. whatever travel time allowances were agreed
upon between the Company and other labor organizations with which
it was in collective bargaining relationship. Under these circum-
stances, we find this-contention to be without merit.
Nor do we agree with the C. I. O.'s contention that the 2-year con-
tract between the Company and the A. F. L. is an unreasonable
limitation upon the exercise of the right of employees to choose
collective bargaining representatives at appropriate intervals. Our
policy with respect to this issue was set forth in the Uxbridge case 2
wherein we stated :
In the absence of satisfactory proof that an effective 2-year con-
tract runs counter to the well established custom in the industry,
or is otherwise unreasonable in term under, the circumstances of
the particular case, we are presently of the opinion that, in the
interest of industrial stability, no investigation of representa-
tives should be undertaken until such contract is about to expire.
[Emphasis supplied.]
The C. I. O. adduced evidence to the effect that prior collective bar-
gaining agreements with the Company provided for 1-year terms,
that such terms were usual in contracts between labor organizations
and mining companies in the area, and were customary in the non-
ferrous mining industry. On the other hand, evidence was adduced
indicating the existence of collective bargaining agreements in the
non-ferrous mining industry for terms of 20 months. In addition,
the C. I. O. conceded that it has sought and obtained agreements cov-
ering employees in this industry for terms of 19 months, although
such contracts were subject to reexamination at the end of a 12-
month period. It is apparent, therefore, that the practice of execut-
ing 1-year collective bargaining agreements in the non-ferrous
mining industry is not without exception. In any event, to permit
the contract involved in this case to run its full term would foreclose
the right of the employees to select a new collective bargaining' repre-
sentative for a period of but 16 months from the date of its execu-
tion. Under the circumstances present herein, we conclude that the
A. F. L.'s contract with the Company is not one for an unreasonable
duration, and, consequently, constitutes a bar to a present determina-
tion of representatives. Accordingly, we shall dismiss the petition
herein without prejudice to the right of the C. I. O. to file a new
petition at a later and more appropriate date.
2 Matter of Uxbridge Worsted Company, Inc, Andrews Mi it, 60 N L R B. 1395
470 DECISIONS OF NATIONAL LABOR RELATIONS BOARD
ORDER
Upon the basis of the foregoing findings of fact and upon the
entire record in the case, the National Labor Relations Board hereby
orders that the petition for investigation and certification of repre-
sentatives of employees of Kennecott Copper Corporation, Hurley
and Santa Rita, New Mexico, filed by International Union of Mine,
Mill & Smelter Workers, CIO, for itself and on behalf of Locals
Nos. 63 and 69, be, and it hereby is, dismissed.
MR . GERARD D. REILLY took no part in the consideration of the
above Decision and Order.