Ward Electric Co.

National Labor Relations Board - Board Decisions

May 13, 1946

67 N.L.R.B. 1381 (N.L.R.B. 1946)

In the Matter of WARD ELECTRIC COMPANY AND REPUBLIC INDUSTRIES,
INC. and UNITED ELECTRICAL , RADIO AND MACHINE WORKERS OF
AMERICA, C. I. O.
Case No. 13-R 3351 Decided May 13, 1946
Dwork and Epton, by Mr. Jack E. Dwork, of Chicago, Ill., for the
Companies.
Mr. Sam Kushner, of Chicago, Ill., for the UE.
Mr. Daniel D. Carmell, by Mr. Lester Asher, of Chicago, Ill., for the
IBEW.
Mr. Elmer P. Frei^chlag, of counsel to the Board.
DECISION
AND
DIRECTION OF ELECTIONS
STATEMENT OF THE CASE
Upon an amended petition duly filed by United Electrical, Radio
and Machine Workers of America, C. I. 0., herein called the UE, alleg-
ing that a question affecting commerce had arisen concerning the rep-
resentation of employees of Ward Electric Company, Chicago, Illinois,
herein called Ward, and Republic Industries, Inc., Chicago, Illinois,
herein called Republic, both herein collectively called the Companies,
the National Labor Relations Board provided for an appropriate hear-
ing upon due notice before Robert T. Drake, Trial Examiner. The
hearing was held at Chicago, Illinois, on February 12, 1946. The
Companies, the UE, and International Brotherhood of Electrical
Workers, A. F. of L., herein called the IBEW, appeared and partici-
pated. All parties were afforded full opportunity to be heard, to ex-
amine and cross-examine witnesses, and to introduce evidence bearing
on the issues. At the close of the hearing, the IBEW moved to dismiss
the petition on the ground that the unit requested is inappropriate.
The motion was referred to the Board. For reasons stated hereinafter,
the motion is hereby denied. 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.
67 N L. R. B., No. 187. .
1381
1382 DECISIONS OF NATIONAL LABOR RELATIONS BOARD
Upon the entire record in the case, the Board makes the following:
FINDINGS OF FACT
I. THE BUSINESS OF THE COMPANIES
Ward Electric Company, a limited partnership, with its office and
plants in Chicago, Illinois, is engaged in the manufacture and sale of
fluorescent and other types of lighting fixtures. During the year 1945,
it purchased raw materials, consisting principally of starters, sockets,
ballasts, transformers, wire, screws, nuts, bolts, metal parts, castings,
and pipe, valued in excess of $100,000, more than 25 percent of which
represented shipments to it from points outside the State of Illinois.
During the same period, it sold finished products amounting in value to
over $150,000, over 25 percent of which represented shipments to points
outside the State. Ward admits, and we find, that it is engaged in
commerce within the meaning of the National Labor Relations Act.
Republic Industries, Inc., an Illinois corporation, having its office
and plant in Chicago, Illinois, Is engaged in the manufacture and sale
of transformers, ballasts, and reactors. Prior to September 1945, Re-
public manufactured lighting fixtures. It purchased, during 1945, raw
materials, consisting of metal parts, wire, paper, wax, tar, and sand-
paper, valued in excess of $25,000. Since September 1945, practically
all the raw materials required by Republic in its manufacturing opera-
tions have been received from Ward. Substantially all of Republic's
output of finished products, valued at from $15,000 to $20,000 per
month, is now being sold to Ward and is used by the latter in the
manufacture of its lighting fixtures. We find, contrary to the conten-
tion of Republic, that it is engaged in commerce within the meaning
of the Act.'
II. THE ORGANIZATIONS INVOLVED
United Electrical, Radio and Machine Workers of America is a labor
organization affiliated with the Congress of Industrial Organizations,
admitting to membership employees of the Companies.
International Brotherhood of Electrical Workers is a labor organi-
zation affiliated with the American Federation of Labor, admitting to
membership employees of the Companies.
III. THE QUESTION CONCERNING REPRESENTATION
The Companies have refused to grant recognition to the UE as col-
lective bargaining representative of any of their employees unless and
until the UE has been certified by the Board in an appropriate unit.
I See Matter of McCaety Manufacturing Company, 59 N. I, R B 1244, and cases cited
the, em
WARD ELECTRIC COMPANY AND REPUBLIC INDUSTRIES, INC.1383
A statement of a Board agent, introduced into evidence at the hear-
ing, indicates that the UE represents a substantial number of employees
in the unit hereinafter found appropriate.2
We find that a question affecting commerce has arisen concerning
the representation of employees of the Companies, within the mean-
ing of Section 9 (c) and Section 2 (6) and (7) of the Act.
IV. THE APPROPRIATE UNIT; THE DETERMINATION OF REPRESENTATIVES
The UE seeks a single unit of all production and maintenance em-
ployees of the Companies, excluding office and clerical employees,
outside truck drivers, foremen, and supervisory employees. The
IBEW contends that there should be a separate unit for each coln-
pany. The Companies are neutral.
In support of the establishment of a two-company unit, the follow-
ing facts may be noted. The Companies are operated substantially
as a single integrated enterprise. Ward furnishes practically all the
raw materials used by Republic; the latter has purchased almost no
materials directly during the past few months. Republic manufac-
tures transformers, ballasts, and reactors, and all its output is pur-
chased and used by Ward in the lighting fixtures it manufactures.
The Companies are to some degree under common management, in
that (a) Samuel Melnick, who is President and Treasurer of Repub=
lie, and in over-all charge of its operations, is a limited partner and
plant manager of Ward, and (b) Jack Dwork, Secretary of Republic,
is also a limited partner of Ward. The office employees of Ward do
all the necessary office work for Republic. The two Companies oc-
cupy adjoining buildings, which are interconnected. Ward subleases
to Republic the premises occupied by the latter, and furnishes neces-
sary heat and janitor service. A single time clock is used by the
employees of the two Companies; the time cards are, however, segre-
gated in the rack. Over the employee entrance to the building oc-
cupied by Ward is a sign reading Republic Industries, Inc. An
employee of Ward also testified at the hearing that he had on num-
erous occasions painted reflectors and ballast boxes produced by
Republic, at the request of a supervisor of the latter, and that he first
learned the identity of his employer when he received his initial pay
2 The Field Examiner reported that the UE submitted 128 application raids, 82 of which
[lore the names of employees listed on the Waid pay roll, and 26 of which bore the names
of employees listed on the Republic pay roll
The Field Examiner further reported that the IBEW submitted 39 application cards, 12
of which bore the navies of employees listed on ward's pay roll, and 9 of which bore the
names of employees listed on Republic 's pay roll There are approximately 134 persons
in the voting group of ward employees , and approximately 39 persons in the voting group
of Republic employees
The UE objected to the motion of the IBEW to intervene at the commencement of the
healing , contending that the IBEW did not present a substantial showing of representa-
tion We find the contention to be without merit See Matter of Celanese Corporation of
Anicrica, 56 N L R B 447
1384 DECISIONS OF NATIONAL LABOR RELATIONS BOARD
check. The record indicates that there is no history of collective
bargaining between the Companies and any labor organization.
Both unions have extended their organizational activities to both
firms, and both unions submitted application cards of employees in
the two organizations. The factors adverted to above indicate the
propriety of a single two-company unit.3
On the other hand,, there are lines of demarcation between 'the two
Companies sufficient to indicate the feasibility of single-company
units. Each company is a separate legal entity. Each has separate
bank accounts, records, and pay rolls. Each hires its own employees,
and there is no evidence of any interchange of workers. Republic
produces transformers, ballasts, and reactors only, and does not manu-
facture complete lighting fixtures, as does Ward. No evidence was
adduced at the hearing that a common labor policy prevails for the
Companies.
Inasmuch as we are of the opinion that either single-company or
two-company units are appropriate, we shall make no final unit deter-
mination at this time, but shall be guided by the desires of the em-
ployees involved as expressed in the elections ordered hereinafter.
In the event that the employees in both voting groups described here-
inafter, voting separately, select the same union, they shall together
•constitute a single appropriate 1mit.4
The Companies employ a number of students on a part-time basis.
The UE contends that the students should be excluded from the bal-
loting, whereas the IBEW desires that they be permitted to vote. The
Companies take no position. The students are regular part-time em-
ployees working about four hours each day at the same work and
for substantially the same rate of pay as full-time employees. As reg-
ular part-time employees, we shall, in accord with established practice,
permit the students to vote in the elections.'
We shall direct that the question concerning representation which
has arisen be resolved by means of separate elections by secret ballot
among the employees in the voting groups described below who were
employed during the pay-roll period immediately preceding the date
of the Direction of Elections herein, subject to the limitations and
additions set forth in the Direction :
(1) All production and maintenance employees6 of Ward, exclud-
ing office and clerical employees, outside truck drivers, foremen, and
all other supervisory employees with authority to hire, promote, dis-
3 See Matter of Harry Manaster S Bi o , 60 N. L R B 979, and cases cited therein.
4 See Matter of Federal Telephone and Radio Corporation, 63 N. L It. B. 957 ; and
Matter of New York Stock Exchange, Stock Clearing Corporation , New York Stock Ex-
change Building Company, and New York Quotation Company, 58 N L R B 911.
4 See Matter of John Wood Manufacturing Cbmpany, Inc, 61 N. L . R. B. 846 ; Matter of
The Globe Company , 60 N. L R B 1312 , Matter of Atwater Manufacturing Company,
58 N L. R B 615
6 This includes part-time employees.
WARD ELECTRIC COMPANY AND REPUBLIC INDUSTRIES , INC.1385
charge, discipline, or otherwise effect changes in the status of em-
ployees, or effectively recommend such action;
(2) All production and maintenance employees 6 of Republic, ex-
cluding office and clerical employees, outside truck drivers, foremen,
and all other supervisory employees with authority to hire, promote,
discharge, discipline, or otherwise effect changes in the status of em-
ployees, or effectively recommend such action.
As stated above, there will be no final determination of the appro-
priate unit or units pending the results of the elections.
DIRECTION OF ELECTIONS
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 Re-
lations 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 Ward Electric
Company and Republic Industries, Inc., both of Chicago, Illinois,
separate elections by secret ballot shall be conducted as early as pos-
sible, but not later than thirty (30) days from the date of this Direc-
tion, 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, Sections 10 and 11,
of said Rules and Regulations, among the employees in the voting
groups described 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 includ-
ing 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 elections, to determine in each
of the voting groups whether they desire to be represented by United
Electrical, Radio and Machine Workers of America, C. I. 0., or by
International Brotherhood of Electrical Workers, A. F. of L., for the
purposes of collective bargaining, or by neither.
MR. GERARD D. REILLY took no part in the consideration of the
above Decision and Direction of Elections.
6 This includes part -time employees