Southern Pacific Steamship Lines

National Labor Relations Board - Board Decisions

Sep 27, 1938

8 N.L.R.B. 1263 (N.L.R.B. 1938)

In the Matter of SOUTHERN PACIFIC STEAMSHIP LINES (MORGAN
LINES) and BROTHERHOOD OF RAILWAY AND STEAMSHIP CLERKS,
FREIGHT HANDLERS, EXPRESS AND STATION EMPLOYEES 1
Case No. R-868.-Decided September 27, 1938
Shipping Industry-Investigation of Representatives: controversy concerning
representation of employees : refusal by employer to deal with union until cer-
tified by a governmental agency-Unit Appropriate for Collective Bargaining:
all clerical and part-time clerical employees with the exception of confidential
secretaries-Representatives: proof of choice: comparison of designation cards
and pay roll-Certification of Representatives: upon proof of majority repre-
sentation.
Mr. E. P. Davis, for the Board.
Baker, Botts, Andrews & Wharton, by Mr. Tom M. Davis, of
Houston, Tex., for the Company.
Mr. W. M. Crawford, of Fort Worth, Tex., for the Brotherhood.
Mr. James A. Cobey, of counsel to the Board.
DECISION
AND
CERTIFICATION OF REPRESENTATIVES
STATEMENT OF THE CASE
On May 23, 1938, Brotherhood of Railway and Steamship Clerks,
Freight Handlers, Express and Station Employes, herein called the
Brotherhood, filed with the Regional Director for the Sixteenth Re-
gion (Fort Worth, Texas) a petition alleging that a question affect-
ing commerce had arisen concerning the representation of employees
of Southern Pacific Steamship Lines (Morgan Lines), Galveston,
Texas, herein called the Company, and requesting an investigation
and certification of representatives pursuant to Section 9 (c) of the
National Labor Relations Act, 49 Stat. 449, herein called the Act.
On June 13, 1938, the National Labor Relations Board, herein called
the Board, acting pursuant to Section 9 (c) of the Act and Article
III, Section 3, of National Labor Relations Board Rules and Regu-
lations-Series 1, as amended, ordered an investigation and author-
'The correct designation of the Brotherhood Is Brotherhood of Railway and Steamship
Clerks, Freight Handlers , Express and Station Employes.
8 N. L. R. B., No. 156.
1263
1264 NATIONAL LABOR RELATIONS BOARD
ized the Regional Director to conduct it and to provide for an
appropriate hearing upon due notice.
On June 23, 1938, the Regional Director issued a notice of hearing,
copies of which were duly served upon the Company and the
Brotherhood. Pursuant to the notice, a hearing was held on June
30, 1938, at Galveston, Texas, before L. Richard Insirilo, the Trial
Examiner duly designated by the Board. The Board and the Com-
pany were represented by counsel, the Brotherhood by a grand lodge
representative, and all participated in the hearing. Full opportunity
to be heard, to examine and cross-examine witnesses, and to intro-
duce evidence bearing upon the issues was afforded all parties. Dur-
ing the course of the hearing the Trial Examiner made several rul-
ings on motions and on objections to the admission of evidence. The
Board has reviewed these rulings and finds that no prejudicial errors
were made. The rulings are hereby affirmed.
Upon the entire record in the case, the Board makes the following :
FINDINGS OF FACT
I. THE BUSINESS OF THE COMPANY
Southern Pacific Steamship Lines, also known as Morgan Lines,
is an unincorporated division of the Southern Pacific Company, a
Kentucky corporation, which also carries on numerous other enter-
prises. Southern Pacific Steamship Lines, herein called the Com-
pany, operates 13 ocean-going vessels of an average net tonnage of
4,000 tons in the coastwise trade between the Atlantic Ocean ports
of Boston and New Bedford, Massachusetts; New York City; Balti-
more, Maryland; and Norfolk, Virginia, and the Gulf of Mexico
ports of New Orleans, Louisiana; and Houston and Galveston, Texas.
Three of the Company's vessels call each week at Galveston, Texas,
where the Company has complete wharfage facilities, known as
Pier B, and a general office building situated 25 feet from its docks.
Pier B is served by the Texas and New Orleans Railroad which
transports practically all the freight taken off and loaded on to these
ships. A small amount, however, is handled directly by motortruck.
In 1937 the freight passing through Pier B via rail or truck aggre-
gated 750,000 tons, and all of it was transported to or from States of
the United States other than the State of Texas.
The Company employs some 650 persons at Galveston to handle
and administer the movement of freight between its ships and the
railroad cars and motortrucks which serve Pier B. Five hundred
and fifty of these employees are longshoremen. Twenty are checkers
who perform all their duties on the docks. Of the remainder 42
are listed on the Company's Operating Department pay roll. Most
DECISIONS AND ORDERS 1265
of the employees of the Operating Department are stationed in the
general office building. A few, however, work in the dock offices
of the timekeeper and the receiving and delivery clerk. This pro-
ceeding involves only the employees of the Operating Department.
We find that the Company is engaged in trade, traffic, commerce,
and transportation among the several States and that the Operating
Department employees of the Company at Galveston, Texas, are
directly engaged in such trade, traffic, commerce, and transportation.
II. THE ORGANIZATION INVOLVED
Brotherhood of Railway and Steamship Clerks, Freight Handlers,
Express and Station Employes is one of the 21 standard railway
labor organizations. It is national in scope and is affiliated with the
American Federation of Labor. It admits to membership all clerks,
office employees, freight handlers (except longshoremen), station
employees, storeroom workers, and other similar workers in the
service of railroad, steamship, and transportation companies.
III. THE QUESTION CONCERNING REPRESENTATION
The Brotherhood began organizing the employees of the Company
at Galveston in September 1937. On September 23, 1937, Jean La-
fitte Lodge No. 945, with 23 charter members, was established. Dur-
ing the following month the Lodge obtained 16 additional applications
for membership.
On March 21, 1938, the Brotherhood sent a letter to Mr. H. M.
Lull, executive vice president, Southern Pacific Steamship Lines,
Houston, Texas, advising him that a majority of the clerical, office,
and station employees at Galveston, Texas, had designated the
Brotherhood as their representative for the purposes of collective
bargaining. Some 2 weeks later Mr. Lull met at Houston with Mr.
Crawford, the general representative of the Brotherhood, who in-
formed him that the Brotherhood had been designated as their repre-
sentative by 37 of the 42 employees of the Company in the unit claimed
to be appropriate by the Brotherhood. Mr. Lull stated in reply that
he would not deal with the Brotherhood until it had been certified by
a governmental agency because the Company had been advised by
counsel that there was some question as to whether the National
Labor Relations Board or the National Mediation Board had juris-
diction over its relations with these employees. Three additional
conferences were held, but the Company did not change its position.
We find that a question concerning the representation of employees
of the Company has arisen and tends to lead to labor disputes bur-
dening and obstructing commerce and the free flow of commerce.
1266 NATIONAL LABOR RELATIONS BOARD
IV. THE APPROPRIATE UNIT
On Pier B the Company employs approximately 600 longshore-
men, wharf workers, and checkers to move freight between the ships
and the railroad cars and motortrucks. The wages, hours, and work-
ing conditions of practically all these employees are governed by two
contracts entered into by the Company and International Longshore-
men's Association, herein called the I. L. A., which represents the
longshoremen and checkers. In the general office building adjacent
to Pier B and in the dock offices the Company has some 35 to 40
clerical and office employees who record the movement of freight.
Prior to the advent of the Brotherhood, none of these employees had
been organized for the purposes of collective bargaining. The
Brotherhood claims that these clerical and office employees constitute
a unit appropriate for the purposes of collective bargaining. The
Company does not oppose this claim generally, but objects to the
inclusion of certain classes of employees and certain particular em-
ployees in the unit. We see no reason for departing from the gen-
eral unit claimed by the Brotherhood and not opposed by the
Company.
In determining what classes of employees compose the appropriate
unit the Brotherhood and the Company have agreed that no classi-
fication which does not appear upon the Company's pay roll of May
16 to May 31, 1938, for the Operating Department, Galveston, Texas,'
should be included. Furthermore, although the positions of assistant
agent, dock superintendent, chief clerk, electric-truck tender and re-
pairman are listed upon that pay roll, the Brotherhood and the
Company have stipulated to their exclusion from the unit. On the
other hand, the Company raised no objection at the hearing to
the inclusion in the unit of the following classes of employees
Assistant timekeeper, cashier, head revising and claim clerk, assistant
claim clerk, head bill clerk, bill clerk, expense bill clerk, paymaster,
pay-roll clerk, bills payable and bills collectible clerk, junior clerk,
utility clerk, extra clerk, extra stenographer, extra comptometer op-
erator, messenger, and office porter. The Company opposes only the
claim of the Brotherhood that the unit also include positions desig-
nated as head loading clerk, assistant head loading clerk, storeroom
keeper and inspector, rigger, receiving and delivery clerk, time-
keeper, and freight investigator. In addition, while consenting to
the inclusion of the classification listed as extra stenographer on the
previously mentioned pay roll, the Company opposes the inclusion
of two of the three secretaries so classified, upon the ground that they
do confidential work.
2 Petitioner Exhibit No. 1.
DECISIONS AND ORDERS 1267
The Company urges the exclusion from the unit of the head load.
ing clerk, assistant head loading clerk, storeroom keeper and inspec-
tor, rigger, receiving and delivery clerk, timekeeper, and freight
investigator on the broad basis that these employees spend more of
their time on the wharves than in their offices. But it appears that
of these employees, the I. L A., which represents the employees
working on the docks, has in the past sought to cover in their con-
tracts only the positions of receiving and delivery clerk and rigger.
Moreover, it does not appear that any of the contracts, with the
I. L. A., as finally executed, covered even these two classifications
of employees. As a matter of fact, the head loading clerk, assistant
head loading clerk, storeroom keeper and inspector, rigger, receiving
and delivery clerk, timekeeper, and freight investigator do some
clerical work, and in the absence of a showing that they are repre-
sented by the I. L. A., we are not disposed to exclude them.
In regard to the head loading clerk and the storeroom keeper and
inspector, the Company has made the further objection that their
duties are supervisory in character. The holders of these two posi-
tions exercise some disciplinary power over certain classes of dock
employees, but this power does not extend to any of the employees
in the unit proposed by the Brotherhood. In addition, it does not
appear that their interests conflict in any way with the interests of
the other employees in the unit.
In regard to the timekeeper and the freight investigator, the
Company has the further specific objection that the work they per-
form is of a confidential nature. The former compiles the wharf
and office costs of the Company at Galveston, and the latter reports
any mishandling of cargo in the unloading of the ships. Both pre-
pare their data for the ranking Galveston executive. It appears,
however, that much of their work is in the nature of routine, clerical
tabulation; and further that the employees whose efficiency they
check by personal observation are dock employees whom the Brother-
hood does not seek to include in the appropriate unit. Accordingly,
we find that those employees listed under the classifications of head
loading clerk, assistant head loading clerk, storeroom keeper and
inspector, rigger, receiving and delivery clerk, timekeeper, and
freight investigator should be included in the appropriate unit.
A contrary conclusion must be reached in regard to the two extra
stenographers who serve as confidential secretaries to the executives
of the Company in the Galveston area. These two employees have
access to the Company's code book for confidential telegrams, and
take dictation on ship accidents, personnel problems, and compen-
sation cases, all of which are matters deemed confidential by the
Company. The Brotherhood did not take issue with the Company
on this point, but merely asserted that one stenographer was sufTi-
117213-39-vol. 8-81
1268 NATIONAL LABOR RELATIONS BOARD -
cient for the confidential work in the office. The Brotherhood's
position is untenable. We shall exclude the two confidential
stenographers.
We find that all employees of the Company occupying the posi-
tions of timekeeper, assistant timekeeper, head loading clerk, assistant
head loading clerk, storeroom keeper and inspector, rigger, receiving
and delivery clerk, freight investigator, cashier, head revising and
claim clerk, assistant claim clerk, head bill clerk, bill clerk, express
bill clerk, paymaster, pay-roll clerk, bills payable bills collectible
clerk, junior clerk, utility clerk, extra clerk, extra comptometer opera-
tor, messenger, office porter, and extra stenographer, with the excep-
tion of extra stenographers who perform confidential work, consti-
tute a unit appropriate for the purposes of collective bargaining and
that said unit will insure to employees of the Company the full
benefit of their right to self-organization and to collective bargaining
and otherwise effectuate the policies of the Act.
V. THE DETERMINATION OF REPRESENTATIVES
There are 35 employees in the appropriate unit.3 The Brotherhood
introduced into evidence 24 cards designating it as the representa-
tive of the signers in all matters relating to employment, rates of pay
and working conditions. The genuineness of the signatures Was
established at the hearing, and the Company confined itself to point-
ing out that all these cards were signed between October 20 and 25,
1937. However, no evidence was introduced to indicate that any
signer had withdrawn or desired to withdraw his designation. On
the contrary, it was shown that the average number in attendance
at the meetings of the Jean Lafitte Lodge No. 945 up to the date of
the hearing approximated the number of employees who signed
designation cards.
A comparison of the signatures on the 24 cards with the Com-
pany's pay roll of May 16 to 31, 1938 for the Operating Department,
which both parties used throughout the hearing in regard to the
determination of the appropriate unit, reveals that 22 out of the 35
employees within the appropriate unit have designated the Brother-
hood as their representative for the purposes of collective bar-
gaining.4
3 The Company's pay roll of May 16 to 31, 1938 , for the Operating Department , Galves-
ton, Texas , lists 42 employees . In our determination of the appropriate unit in Section
IV, supra, we decided that all employees within the following classifications should be
excluded Assistant agent, dock superintendent , chief clerk , electric-truck tender and
repairman . There are five such employees . In addition, we excluded two extra stenog-
raphers who do confidential work.
4 The record shows that as of the date of the hearing the Company had neither added
nor dropped employees in the classifications listed in this pay roll We have not counted
two cards because the name of the signer of one does not appear on the pay roll, and the
signer of the other is listed as an extra stenographer who, according to the evidence, does
confidential work.
DECISIONS AND ORDERS 1269
We find that the Brotherhood has been designated and selected
by a majority of the employees in the appropriate unit as their repre-
sentative for the purposes of collective bargaining. It is, therefore,
the exclusive representative of all the employees in such unit for
the purposes of collective bargaining, and we will so certify.
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 Southern Pacific Steamship Lines (Mor-
gan Lines), Galveston, Texas, -within the meaning of Section 9 (c)
and Section 2 (6) and (7) of the National Labor Relations Act.
2. The employees of the Company occupying the positions of
timekeeper, assistant timekeeper, head loading clerk, assistant head
loading clerk, storeroom keeper and inspector, rigger, receiving and
delivery clerk, freight investigator, cashier, head revising and claim
clerk, assistant claim clerk, head bill clerk, bill clerk, express bill
clerk, paymaster, pay-roll clerk, bills payable bills collectible clerk,
junior clerk, utility clerk, extra clerk, extra comptometer operator,
messenger, office porter, and extra stenographer, with the exception
of extra stenographers who do confidential work, constitute a unit
appropriate for the purposes of collective bargaining, within the
meaning of Section 9 (b) of the National Labor Relations Act.
3. Brotherhood of Railway and Steamship Clerks, Freight Han-
dlers, Express and Station Employes is the exclusive representative
of all the employees in such unit for the purposes of collective bar-
gaining, -within the meaning of Section 9 (a) of the National Labor
Relations Act.
CERTIFICATION OF REPRESENTATIVES
By virtue of and pursuant to the power vested in the National
Labor Relations Board by Section 9 (c) of the National Labor Rela-
tions Act, and pursuant to Article III, Section 8, of National Labor
Relations Board Rules and Regulations-Series 1, as amended,
IT IS HEREBY CERTIFIED that Brotherhood of Railway and Steam-
ship Clerks, Freight Handlers, Express and Station Employes has
been designated and selected by a majority of the employees of
Southern Pacific Steamship Lines (Morgan Lines), Galveston, Texas,
occupying the positions of timekeeper, assistant timekeeper, head
loading clerk, assistant head loading clerk, storeroom keeper and in-
spector, rigger, receiving and delivery clerk, freight investigator,
cashier, head revising and claim clerk, assistant claim clerk, head
1270, NATIONAL LABOR RELATIONS BOARD
bill clerk, bill clerk, expense bill clerk, paymaster, pay-roll clerk,
bills payable bills collectible clerk, junior clerk, utility clerk, extra
clerk, extra comptometer operator, messenger, office porter, and extra
stenographer, with the exception of extra stenographers who do con-
fidential work, as their representatives for the purposes of collective
bargaining and that, pursuant to the provision of Section 9 (a) of
the Act, Brotherhood of Railway and Steamship Clerks, Freight
Handlers, Express and Station Employes is the exclusive representa-
tive of all such employees for the purposes of collective bargaining
in respect to rates of pay, wages, hours of employment, and other
conditions of employment. _
MR. DONALD WAKEFIELD SMITH took no part in the consideration
of the above Decision and Certification of Representatives.