Stanolind Oil & Gas Co.

National Labor Relations Board - Board Decisions

Apr 16, 1946

67 N.L.R.B. 375 (N.L.R.B. 1946)

In the Matter Of STANOLIND OIL & GAS COMPANY and OIL WORKERS
INTERNATIONAL UNION, C. I. O.
Case No . 16-R-1500.-Decided April 16, 1946
Mueller & Mueller, by Mr. Karl H. Mueller , of Fort Worth, Tex.,
and Messrs . Donald Campbell and George B. Sandel, of Tulsa, Okla.,
for the Company.
Mr. Harry Cochran , of Fort Worth, Tex., and Mr. Allen H. Brown,
of Houston , Tex., for the C. I. O.
Mr. Gilbert R. Wallace , of Bishop , Tex., for the Federation.
Mr. James Zett, of counsel to the Board.
DECISION
AND
DIRECTION OF ELECTION
STATEMENT OF THE CASE
Upon a petition duly filed by Oil Workers International Union,
C. I. 0., herein called the C. I. 0., alleging that a question affecting
commerce had arisen concerning the representation of employees
of Stanolind Oil & Gas Company, Tulsa, Oklahoma, herein called
the Company, the National Labor Relations Board provided for an
appropriate hearing upon due notice before Louis R. Mercado, Trial
Examiner. The hearing was held at Houston, Texas, on January
18, 1946. The Company, the C. I. 0., and the Stanolind Employees
Federation, unaffiliated, herein called the Federation, appeared and
participated. All parties were afforded full opportunity to be heard,
to examine and cross-examine witnesses, and to introduce evidence
bearing on the issues. The Trial Examiner's rulings made at the
hearing are free from prejudicial error and are hereby affirmed. All
parties were afforded opportunity to file briefs with the Board.
Upon the entire record in the case, the Board makes the following :
FINDINGS OF FACT
I. THE BUSINESS OF THE COMPANY
Stanolind Oil & Gas Company, a Delaware corporation and sub-
sidiary of the Standard Oil Company of Indiana, has a principal
67 N. L. R. B., No. 53.
375
376 DECISIONS OF NATIONAL LABOR RELATIONS BOARD
office and place of business at Tulsa, Oklahoma, and 4 division offices
in Wyoming, Texas, and Louisiana. It is licensed to do business in
20 States, owns and operates a small refinery near Superior, Louisi-
ana, and is engaged in the exploration, development, and production
of oil and gas in several States of the United States. In its operation
throughout the United States it produces in excess of 100,000 barrels
of crude oil per day. In the operation of its Texas-Louisiana Gulf
Coast division, the only operation with which we are concerned, it
produces over 50,000 barrels of oil per day, having an approximate
value of $1 per barrel, over 75 percent of which is shipped in inter-
state commerce by the purchasers either as crude petroleum or
petroleum products.
We find that the Company in the operation of its Texas-Louisiana
Gulf Coast division is engaged in commerce within the meaning of the
National Labor Relations Act.
11. THE ORGANIZATIONS INVOLVED
Oil Workers International Union is a labor organization, affiliated
with the C. I. 0., admitting to membership- employees of the Company.
Stanolind Employees Federation is a labor organization, unaffili-
ated, admitting to membership employees of the Company.
III. THE QUESTION CONCERNING REPRESENTATION
The Company has refused to grant recognition to the C. I. O. as
the exclusive bargaining representative of its Texas-Louisiana Gulf
Coast division employees because the Federation also claims to repre-
sent such employees.
A statement of a Board agent, introduced into evidence at the
hearing, indicates that the C. I. O. represents a substantial number
-of employees in the unit hereinafter found appropriate.'
We find that a question affecting commerce has arisen concerning
the representation of employees of the Company, within the meaning
of Section 9 . (c) and Section 2 (6) and (7) of the Act.
IV. THE APPROPRIATE UNIT
The C. I. O. seeks a unit confined to the production department of
the Company's Texas-Louisiana Gulf Coast division, whereas the Com-
, The Field Examiner reported that the C I 0 submitted 188 authorization cards bear-
ing apparently genuine , original signatures
The C. I. O. contends that there are approximately 495 employees in the alleged appro-
priate unit. The Company objected to the admission into evidence of the Field Examiner's
report on the ground , among others , of incompetency. The Trial Examiner overruled this
objection , and his ruling is hereby upheld See Matter of Buffalo Arms Corporation, 57
N. L R B 1560 ; Matter of Champion Sheet Metal Company, Inc , 61 N. L. R. 13. 511, and
cases cited therein.
The Federation's interest is based on contractual relations with the Company and on an
exhibit of authorization petitions apparently signed by employees of the Company.
STANOLIND OIL & GAS COMPANY 377
pany and the Federation seek a unit embracing the division's two
departments, namely production and exploration, and all functional
operations within such departments. The Company and the Federa-
tion would accordingly include office and field clericals, and technical
and professional employees, all of whom the C. I. 0. would exclude.
The C. I. 0. and the Company would exclude, and the Federation
would include, "unlimited hour" employees, that is, those who are
not covered by the wage and hour provisions of the Fair Labor
Standards Act. All parties agree that supervisory employees should
be excluded.
The Company's total operations cover an extensive area, divided into
four divisions, and we are here concerned only with the Texas-
Louisiana Gulf Coast division with headquarters at Houston, Texas.
This division embraces an area extending from the Rio Grande to
the Mississippi River and inland approximately 50 to 100 miles. The
Company in this division explores fields for new gas and petroleum
deposits, and drills wells for the production of oil which is carried
by pipe line to storage tanks on the same leases and sold under contract
to companies for resale to consumers. There are no refinery facilities
in this division, and the Company's pipe lines are merely a gathering
system for the crude oil and gas.
A division superintendent, division manager, office manager, and
industrial labor relations supervisor head the division's administration
in the Houston office. The division superintendent exercises over-all
control of the division and is specifically responsible for the operations
of the production department, while the division manager directs and
controls the operation of the exploration department. The office
manager works under both the division superintendent and division
manager, controlling office procedure and matters of a clerical nature
throughout the division. The Company's labor policy in this division
is actively administered by the division superintendent, apparently
assisted by the industrial relations supervisor. Much reliance is
placed, however, upon the judgment of the innumerable, immediate
supervisors throughout the division, who have the power to hire,
discharge, and discipline without consulting the division office.
The division is divided into 3 districts, each maintaining a district
office and each supervised by a district superintendent. The 3 dis-
tricts are in turn subdivided into areas, 11 in all, each likewise main-
taining an office and each supervised by a field superintendent. Each
area office is immediately controlled by a field clerk, who is described
by the Company as the field superintendent's assistant, and who su-
pervises all clerical employees in the area office. Each area office
maintains its own pay roll, production and personnel records, and
production and personnel records are likewise maintained in the divi-
sion office. The pay rolls are sent to the main office of the Company
378 DECISIONS OF NATIONAL LABOR RELATIONS BOARD
in Tulsa, Oklahoma, where the checks are made out, and sent to the
area offices for distribution. All employees of the Company are car-
ried on 1 pay roll with the exception of certain employees who are
carried on a separate pay roll because their salaries are considered
confidential.
In support of their contention for inclusion of the exploration
department and of clerical and technical employees, the Company
and Federation contend that the history of collective bargaining sup-
ports a unit of all employees. In 1937, the Company and the Federa-
tion entered into a contract whereby the Federation was recognized
as the collective bargaining agent of all the Company's employees in
this division excluding supervisors. The contract contained an auto-
matic renewal clause, and elaborate and detailed procedure for the
handling of grievances, culminating in the appointment of a U. S.
Labor Department mediator in unsettled grievances. It is silent as
to matters dealing with hours, wages, and working conditions, but
at the hearing, the Company contended that supplemental agreements,
both oral and written, had been entered into between the parties,
covering hours, wages, and working conditions. With the exception
of an employee car mileage allowance agreement, the Company de-
clined to produce any of these supplemental agreements. In view of
all the circumstances, we are constrained to disregard this history of
alleged collective bargaining in determination of the appropriate unit
herein.2
Exploration Department. The C. I. O. would exclude, and the
Company and Federation would include, the exploration depart-
ment. It appears from an organizational chart of the Company, in-
troduced into evidence at the hearing, that the exploration depart-
ment is considered a separate department of the division and, as
noted above, has distinct supervision by the division manager. This
department consists of seismic parties, or exploratory crews, of which
there are four at present. The exploratory crews build roads, cut
brush, and set up small drilling rigs in the marshes and fields to drill
shallow holes in which explosive charges are detonated. The crews
assist geologists, paleontologists, seismologists and other technical
personnel in gathering data from which oil and gas deposits can be
located. When the "shooting" is completed in one location, the crew
moves elsewhere. A party generally remains in one location approxi-
mately 4 to 6 months, although the parties at Crowley and Houma
have been there for 2 years. These, however, are admitted exceptions,
and with a full complement of employees, technicians, and scientists
these crews will be more itinerant than at present.
2 See Matter of Corn Products Refining Company, 52 N. L R. B. 1324; Matter of Standard
Oil Company of Indiana, 56 N. L. R. B. 1101 ; Matter of Stanolind Oil and Gas Company,
58 N. L. R. B. 412.
STANOLIND OIL & GAS COMPANY 379
The seismic party in the field is under the immediate supervision
of a party chief who receives his orders from the Houston office and
reports to the division seismograph superintendent. It consists of
40 employees of whom 35 are unskilled and non-supervisory, and are
hired and discharged by the party chief. Technicians and scientists
are hired by the division office, and are also subject to the supervision
of the party chief. The superintendent of the area in which the party
is located directs, in consultation with the scientists, the places to
be drilled, and the pay roll of the crew is computed in the area office,
along with all the other employees of the area. In common with the
production workers, the unskilled and non-supervisory members of
these crews are hourly paid employees.
The Company contends that the interests of the employees in the
exploration department are identical with those in the production
department and it points to certain similarity between small rig drill-
ing and deep well production drilling. The drilling done by explora-
tory crews, however, is relatively shallow, never exceeding 600 feet,
while the production drilling crews operate large rotary drills, are
oil location a much longer time, and drill wells an average depth of
6,000 feet. Ability to operate a drilling rig in exploration does not
qualify the operators to run a large production drilling rig. The
seismic parties work in isolation, and although some work categories
such as cooks, laborers, and truck drivers are duplicated in the pro-
duction department," the vast majority of such classifications find
no counterpart in production.' The relatively transitory nature of
the seismic parties, the rather technical nature of their operations,
the existence of the exploration department as a distinct functional
department of the division and the isolation of exploratory crews
from production workers negates a community of interest between
the 2 groups of employees, and demonstrates, on the other hand, the
homogeneity of the exploratory crews as a group in themselves. In
view of all these considerations, the exploration department will be
excluded from the appropriate unit.
As to composition of the unit of production department employees,
the parties reached accord at the hearing on various inclusions and
exclusions. They agreed that at least all employees listed in Appendix
A should be included and that at least all employees listed in Appendix
B, who work in the production department, should be included. The
parties agreed that all categories listed in Appendix C are supervisors
with power to hire and discharge or to effectively recommend such
action and should therefore be excluded from the appropriate unit.
8 A complete list of categories common to both departments will be found in Appendix B.
, These categories include first and second class drillers , first, second , and third class
helpers, assistant observers , first and second class shooters , junior and apprentice computer,
log plotter, sample washer , and scout.
380 DECISIONS OF NATIONAL LABOR RELATIONS BOARD
Office and Field Clericals. The C. I. 0. would exclude, and the Com-
pany and the Federation would include, office and field clericals. The
20 office clericals in the division and district offices perform the usual
functions of typing, filing, comparing invoices, dictation, and checking
of production records. The photostat operators, receptionist, and
messenger are stationed in the division office, and come within this
group of office clericals. In accordance with our usual policy,5 we shall
exclude all these employees as office clericals.
The 60 field clericals work in the area offices contiguous to the area
production fields. These clericals compute the area pay roll, distribute
the checks, and are engaged in routine filing, comparing of invoices,
and compiling of production reports, received apparently from the
production clerk, and made in the first instance by the pumpers. On
occasion, and in case of an emergency, their work will carry them out-
side the office and into the production field proper to check inventories
or to recheck production reports. There have been some transfers
between roustabouts and pumpers and field clericals. On the other
hand, there is evidence of transfer between the division, district, and
area clericals. All clericals come within the over-all jurisdiction of the
office manager in the Houston office. All clericals are monthly salaried
employees, whereas operating employees in the production department
are hourly paid. There is some contact between field clericals and
production employees, but we are satisfied that there is no close inter-
relation between the two, and it appears that the interests of these
field clericals are more closely identified with the office clericals than
with production workers.6 We shall accordingly exclude them from
the unit.
Technical and Professional Employees. The C. I. 0. would exclude
and the Company and Federation would include, technical and pro-
fessional employees. The Company employs chemists and various
classifications of engineers 7 in its operations, but with the exception
6Matter of Sharp & Dohme, Inc., 56 N L. R. B. 1471, Matter of Socony-Vacuum Oil
Company, Incorporated, 60 N. L. R. B. 559; Matter of Rockford Screw Products Co.,
62 N. L. R. B. 1430.
6 See Matter of Standa+•d Oil Company of California, 58 N L R B. 560 ; Matter of
Richfield Oil Corporation, 59 N. L. R. B 1554; Matter of Sunray Oil Corporation, 61
N. L. R. B. 1648. Cf. Matter of Magnolia Pipeline Company, 61 N. L R. B. 723,
wherein 10 clericals were included in an operation and maintenance unit because of a
functional interrelation with an included category of employees. Cf. Union Oil Com-
pany of California, 62 N. L. R. B. 1144, wherein field clericals were included in each of
the 4 established departmental units. In that case, however, each department was a
highly integrated unit, whereas, in the instant proceeding, the field clericals comprise
what is almost a third department in the division with over-all supervision by the
office manager in the division office, and with immediate supervision by the field clerk
in the area office, and that neither of these 2 arms of supervision reaches production and
maintenance employees.
7 These classifications include mud engineers, junior engineers, petroleum engineers,
gas engineers, contract engineers, construction engineers, and gas test engineers, all
of whom the C. I. O. and the Company would exclude as unlimited hour employees.
STANOLIND OIL & GAS COMPANY 381
of apprentice engineer and apprentice and junior chemist," a descrip-
tion of their duties and qualifying technical training and background
is lacking in the record. The record does indicate, however, that the
apprentice engineer and apprentice and junior chemist are engaged in
duties of a technical nature. A substantial number of each category is
technically trained, while others qualified as apprentices through self-
study and experience. Promotions are made through higher engineer
and chemist grades, requiring more technical knowledge and, in sonie
instances, additional technical training. The job titles of all these
classifications indicate the technical and professional nature of their
calling. In accordance with our usual policy,9 we shall exclude all
chemists and engineers as technical and professional employees.
District Gauger. The C. I. O. and the Company seek to exclude the
district gauger, among others, as an "unlimited hour employee," that
is, one who is not covered by the wage and hour provisions of the Fair
Labor Standards Act. We do not agree that the coverage of that
statute, standing alone, is decisive of the proper classification of
employees for collective bargaining purposes. The record indicates
that the district gauger is a non-supervisory employee. His duties
apparently are not substantially different from those of other gauger
classifications included by stipulation in Appendix A. We shall,
accordingly, include the district gauger in the appropriate unit.
We find that all production, operating, and maintenance employees
in the production department of the Company's Texas-Louisiana Gulf
Coast division including all employees listed in Appendix A, and
those listed in Appendix B who work in the production department,
but excluding all office and field clerical employees, the exploration
department employees, engineers, and chemists, and all other technical
and professional employees, all supervisors listed in Appendix C, and
all other supervisory employees with authority to hire, promote, dis-
charge, discipline, or otherwise effect changes in the status of em-
ployees, or effectively recommend such action, constitute a unit appro-
priate for the purposes of collective bargaining within the meanAig
of Section 9 (b) of the Act.
V. TIIE DETERMINATION OF REPRESENTATIVES
We shall direct that the question concerning representation which
has arisen be resolved by an election by secret ballot among employees
in the appropriate unit who were employed during the pay-roll period
immediately preceding the date of the Direction of Election herein,
subject to the limitations and additions set forth in the Direction.
8 Apparently the apprentice and junior chemist were inadvertently placed on the list
of stipulated inclusions. The C. I. O , however, specifically objected to their inclusion,
subsequent to such stipulation.
9 Matter of Boston Edison Co , 51 N. L. R B. 118.
382 DECISIONS OF NATIONAL LABOR RELATIONS BOARD
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, and pursuant to Article III, Section 9, of National Labor Rela-
tions Board Rules and Regulations-Series 3, as amended, it is hereby
DIRECTED that, as part of the investigation to ascertain representa-
tives for the purposes of collective bargaining with Stanolind Oil &
Gas Company, Texas-Louisiana Gulf Coast division, Houston, Texas,
an election by secret ballot shall be conducted as early 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 Six-
teenth Region, acting in this matter as agent for the National Labor
Relations Board, and subject to Article III, Sections 10 and 11, of said
Rules and Regulations, among employees in the unit found appro-
priate in Section IV, above, who were employed during the pay-roll
period immediately preceding the date of this Direction, including
employees who did not work during said pay-roll period because they
were ill or on vacation or temporarily laid off, and including employees
in the armed forces of the United States who present themselves in
person at the polls, but excluding those employees who have since quit
or been discharged for cause and have not been rehired or reinstated
prior to the date of the election, to determine whether they desire to
be represented by Oil Workers International Union, C. I. 0., or by
Stanolind Employees Federation, unaffiliated, for the purposes of col-
lective bargaining, or by neither.
APPENDIX A
AGREED INCLUSIONS OF PRODUCTION AND MAINTENANCE EMPLOYEES
Blacksmith , First Class
Blacksmith's Helper
Boiler Maker
Boiler Maker Helper
Booster Operator
Camp Tender
Caretaker , Special
Caretaker
Carpenter
Clean out Driller
Clean out Helper
Derrickman , Well Servicing
Desulphurization Plant Operator
Drag Line Operator
Plant Electrician
Electrician
Electrician's Helper
Engineers, First and Second Class
Engineer, Oiler
Engineer, Plant
Engineer, Pump Station
Engineer, Shift
Fireman, First Class
Fire Truckman
Gang Pusher, Relief
Gauger, District Relief
Gauger, Station
Grader, Operator
Lineman, First and Second Class
Loading Rack Man
STANOLIND OIL
Machinists, First, Second, and
Third Class
Machinist, Helper
Mechanic, First and Second Class
Painter
Pipe Machine Operator
Pumper-Isolated, Special
Resident Pumper
Pumper
Pumpman
Repairman
Repairman, Rig
Rotary Driller
Rotary Derrickman
AGREED INCLUSIONS
Boatman, Relief
Cook
Cook's Assistant
Cook's Helper
Laborer, Experienced
Laborer
& GAS COMPANY 383
Rotary Fireman
Rotary Floorman
Roustabout
Service Unit Operator
Tractor Driver, Heavy and Light
Treator
Water Tender
Welder, First and Second Class
Welder, Helper
District Electrical Inspector
Gas Inspector
Laboratory Assistant
Maintenance Man
APPENDIX B
IF IN THE PRODUCTION DEPARTMENT
Supplyman
Truck Driver, Heavy and Light
Boatman
Chainman
Transitman
APPENDIX C
AGREED SUPERVISORS
Division Superintendent
Division Manager
Division Clerks
Division Office Manager
Pipe Line Superintendent
Division Industrial Relations
Supervisor
Assistant Division Superintendent
Division Geologist
Division Landman
Division Title Survey Supervisor
Assistant Division Title Survey
Supervisor
Division Seismograph Supervisor
Division Engineer
District Superintendents
District Geologists
District Landmen
Field Superintendents
Production Foremen
Farm Bosses
Head Roustabouts
Gangpushers
Field Clerks
Field Engineers
Party Chiefs
Title Survey Party Chiefs in
Seismograph
Computers
Observers
Plant Superintendent
Plant Foremen
Maintenance Gang Pushers and
Tool Pushers
Division Safety Supervisor
Assistant Field Clerks
Plant Clerk at Gasoline Station