7. Letter, 5/10/1939, Jas. D. Creed, International Brotherhood of Paper Makers, to John G. Shott (Copy). 8. Letter, 5/21/1939, August W. Bahr, Upholsterers International Union, to F. L. Wheeler (Copy). 9. Letter, 6/19/1939, United Automobile Workers of America, District Council No. 1, to William Considine (Copy). 0. Letter, 7/3/1939, Geo. F. Klund, Moving Picture Operators Local 714, to Miss F. L. Wheeler (Copy). 1. Letter, 10/10/1939, Schubring, Ryan, Petersen & Sutherland, by R. S. Sutherland, to John G. Shott (Copy). 2. Letter, 11/9/1939, Rasmus Anderson, International Brotherhood of Pulp, Sulphite & Paper Mill Workers, to Edward J. Brophy. 13. Letter, 11/20/1939, Walter Melchoir, to N. L. R. B., 12th Region. N. L. R. B. Exhibits Nos. 367-379, and 452 were received as supplement to Exhibit 1616, introduced into evidence in Volume 24, Part I, August 1, 1940] N. L. R. B. EXHIBIT NO. 367 PIONEER PEARL BUTTON Co. N. L. R. B. EXHIBIT No. 367-A DEC. 30, 1935. PIONEER PEARL BUTTON Co., AND FEDERAL LOCAL UNION 20,026 The Pioneer Pearl Button Co. The Pioneer Pearl Button Company is a New York Corporation. The home office is in Poughkeepsie, N. Y. It is capitalized for $350,000.00. In addition to a plant at Poughkeepsie, the company has plants at Wabasha, Minn., Dover Ky., and Freemont, Mich. The City of Wabasha, Minn., in 1913 or 1914, invited the company to locate a plant there and furnished it with a building. The buttons are made from clamshells, purchased by the company from persons on both sides of the Mississippi River in both Minnesota and Wisconsin. No finished buttons are produced at Wabasha. The only equipment in the plant is for cutting "blanks" of various sizes. The "blanks" are shipped to the Poughkeepsie, N. Y., plant for finishing. There are three or four "Barry machines" and twenty-eight or twenty-nine "Knott machines" installed in the Wabasha plant for making "blanks." The former require "skilled" labor, the latter do not, according to the company. The company owns the patents on "Knott machines" which are sometimes demonstrated to prospective buyers at the Wabasha plant. Employees pay the company for the shells used and are paid on a piece rate for the blanks produced. (The union contends the employees make from $3.50 to $7.00 per week of 45 hours. The management claims the earnings are almost double this). The company purchases enough shells in the summer and fall to last through the year. The shells are used at the rate of fourteen or fifteen tons per month when a full crew is working. This produces about four or five tons of blanks per month. All blanks are shipped to Poughkeepsie. Mr. Harry J. Ethal, Poughkeepsie, N. Y., is president of the company. A. C. Huber is manager of the Wabasha plant. Button Workers' Union, Local 20,026. Mr. The Wabasha Button Workers' Union, Federal Local 20,026, was organized June 6th, 1935, the charter was issued June 11th, and the union installed about June 15th. Twenty employees signed applications. Four have since dropped out and returned to work. Three not employed by the company at the time also have joined. In the present membership of nineteen, there are sixteen who were employed on June 5th, 1935. Below are listed the employees among the sixteen who have had work since June 5th. 1. Mary Hughley has had a PWA sewing job since October 28, 1935. 2. Jim Caves was hanging paper and painting irregularly during the summer. 3. Ambrose Hopkins planned on quitting June 5th, even if the group did not walk out, but would have stayed if demands of employees had been granted. He worked on the extra (section) gang of the Milwaukee R. R. in August for about one month. 4. Harold Beahm worked on farms during the summer. brush on a WPA project near Winona, Minn. Now he is cuttin 5. Adolph Caduff worked two or three months on the extra (section) gang r the Milwaukee R. R. He is now working for the city part time, shoveling ste and similar jobs. 6. Florence Larke has been working steady in a Wabasha sweetshop as a wa ress for two or three months. 7. Margaret Welsh has been working in a Minneapolis restaurant for short four months. 8. Leslie LaBresh has been in St. Paul four or five months working as a carpenter. but has not had steady employment all of the time. From the above it appears that only three, Florence Larke, Margaret Welsh az Leslie LaBresh has regular private employment. Elaine Schroeder and Elizabeth Hopkins dropped out of Local 20,026 returned to work for the Pioneer Button Co., on December 2nd and 3rd respe tively. Mrs. Frances Schroeder returned to work a short time before this. Th three were active members of the local, however, on October 30th and for se time subsequent thereto. Herbert Beaulieu quit about a week prior to the strike on June 5th, but was i charter member of the Union. He is now driving a coal truck, and has beer some time. However, he considers himself one of the strikers and is a member i the Grievance Committee. Origin of Dispute. On May 29th, 1935, Mr. Huber, Manager of the Wabasha plant, received a telegram from Mr. Ethal, President of the Pioneer Pearl Button Co., annouze a 10% wage cut and an increase in hours from 40 to 45 per week. The compa had not been complying with the code. Many employees objected to the e but agreed to try it out for a week and Huber agreed to telegraph Ethal ask: that the cut be restored. Ethal refused. One week later, on June 5th, afte weighing up, almost the whole crew of cutters stopped work to talk with Haber who stated he had no authority to meet the demands of the employees. Twent one employees then walked out. At the time the company was employing twenty-eight cutters on K machines, three cutters on Barry machines, and three time workers. The twentyone who walked out were all cutters. Ten cutters and the three time worke remained at work, and continued at work for several days thereafter, in spite the picketing by the strikers. The strikers began picketing on the morning of June 6th. That evening union was organized with all twenty-one signing applications. The compar has known the membership of the union at most, if not all, times. On June 7th the company brought in five more cutters. The pickets for “ the people then working to remain in the plant until midnight, when they w permitted to leave, after Huber had signed an agreement not to re-open ur'. the matter was settled. On June 8th Huber told all twenty-one strikers who were still picketing. * come inside, weigh up, take their tools, and get out-and added that they co.. never work there again. On June 10th the "loyal" cutters were told to weigh up and the plant wa closed. Later in the month of June, Local 20,026 was chartered and instalet The union was unsuccessful in getting the time workers to join. Re-opening of Plant. The plant was opened on October 30th, 1935, with seventeen cutters and four time workers, in the face of picketing by members of Local 20,026. Accord. A to Mr. Huber, during October Mrs. Frances Schroeder, a member of the Grievate Committee of Local 20,026 came to his home. She asked when the plant would open. He told her in a week or ten days. The next morning Elaine Schroeder. Treasurer of Local 20,026 came to Huber's home. Huber says he told her " have the "bunch" i. e., members of Local 20,026, come to the plant at 6:30 tha: evening. The union's story substantially agrees with this, except that the meeting was held three or four days before the plant opened. That evening, all but three or four members of the union, who were out «' town, met with Mr. Huber as he had requested. Both sides agree that he asks: them to return to work, with the schedule of hours and wages the same as whe the plant closed, i. e., with the hours increased to 45 and the wages cut 10. (The union contends that the detailed changes in piece rates actually produced a cut amounting to 15% or 20%). Huber says he offered to take all einployers ack who were members of the union, although he also says that Ethal instructed im to take back Jim Caves the president of Local 20,026, only if Caves reimbursed he company for funds he had misappropriated while he was manager of the plant n 1920 or 1921. The union does not contest the claim that Caves owes the ompany in the neighborhood of $100 or $200. Caves has worked as a cutter nore or less continuously since that time. Huber says no deductions were made rom Caves' earnings because he didn't make enough. The union contends that Huber said he would take back all members of the inion, except five, and that the five included Caves. He would not name the >ther four. Tessie Tock, a union member, says she heard Huber talking with omeone during the meeting, and that he stated the five were Jim Caves, Mrs. Caves, Roy Hopkins, Mary Hughley and Pearl Blatter. These five are all very active union members and at least three are officers. Several people asked Huber in open meeting if they were included in the group of five. Huber apparently said nothing. The union members indicated that Huber says one thing at one time and another thing at another time, so it is possible that at the meeting he might have said that all could return, and that all but five could return. The union representatives state that a number of members said during the meeting "if one goes back, we all go back." Apparently there was some effort to get Huber to change his stand. Also during the meeting, according to the union, several members asked to have wages raised to the old level, and hours reduced to 40 per week. Huber claims that the union did not ask that wages be raised. Following the meeting the Grievance Committee voted six to one not to return to work on the basis suggested by Huber, who was notified of the result through Elaine Schroeder. Huber says he was not officially notified, but that Elaine Schroeder did tell him. Local 20,026 made no other attempt to contact Huber prior to the opening of the plant. Before the plant opened four or five members of Local 20,026 went down to the plant each morning to see if anything was going on. On October 30th, 1935, the plant was opened. Picketing was started on that day and has continued with some breaks until now. Huber states there was picketing also the morning before the plant opened. On Saturday, November 2nd, Mr. Frank Koester, Red Wing, Minn., Vice President of the Minnesota Federation of Labor for the First District, joined the Grievance Committee of Local 20,026 in meeting with Huber. The group met Huber at his office in the plant in the early evening. The union tried to get Huber to enter into an agreement. The discussion was based on a draft prepared by the union, a copy of which is attached. Huber said he had no authority to settle anything, and refused to join the union in preparing an agreement which he would recommend for acceptance to the main office in Poughkeepsie. On the following Friday, November 8th, a delegation from Local 20,026 came to the meeting of the Red Wing, Minn., Trades and Labor Council requesting assistance. On Monday November 11th, a delegation of 125 persons from Red Wing came to Wabasha, arriving too late to picket the plant at closing time. The plant had closed early that afternoon, probably to avoid difficulty with mass picketing. (However, there was a fight and one employee drew a knife. Some girl then hit him on the head with her shoe, according to some reports. Warrants were sworn out and two pickets-members of Local 20,026 went to jail for a short time.) That evening a mass meeting was held in the City Hall, attended by the Mayor, members of Local 20,026 and the 125 people from Red Wing. Huber was brought into the meeting and agreed to close the plant until the dispute was satisfactorily adjusted, and to send a telegram to Mr. Ethal as follows: "Factory closed for indefinite period on account of labor trouble, until a company representative arrives to settle labor dispute and wages. Reply at once by wire." Presumably Mr. Ethal replied, but Local 20,026 was not informed of the nature of the reply, as had been agreed upon. The plant opened Wednesday noon, also contrary to the agreement. On Friday November 15th, a committee from the Red Wing Trades and Labor Council were sent to this office by Mr. George W. Lawson, Secretary, Minnesota State Federation of Labor. The committee asked that I come to Wabasha to investigate the matter, and assist Local 20,026 in arriving at a settlement. I agreed to go down the following day. On Saturday November 16th, a meeting was arranged between the Grievan Committee and Messrs. Ethal and Huber. Mr. Ethal had arrived that morni The meeting apparently was attended by most of the union membership, a consisted largely of acrimonious talk by both sides. I came into the meet just as it was breaking up and arranged to have a small group from the union, azt Mr. Koester, meet with Ethal and Huber. I also attended the meeting. The following quotation is from my memorandum of November 18th covering the trip. A copy of the memorandum is also attached "Mr. Ethal made the point that the union did not represent any of t employees, and when the union representatives brought up the matter!! signing an agreement to use only union employees, to raise the wage scie and limit work to forty hours a week, he took the position that the members of the union were not representing any of his employees and therefore be need not discuss the matter. However, he did discuss it briefly, largely av ing conclusions along the line that the present employees wanted to wors and that they were doing satisfactory work, and that the company could raise wages or shorten hours and keep the plant open, 'and that is all thes is to it.' "Mr. Ethal stated he would not discriminate in any way in the employme of union people, that there were five vacant machines to be filled un Monday morning, and if the union people wished to apply their applica": would be considered and Mr. Huber would select the five he wanted to retr to work. However, both he and Mr. Ethal very carefully avoided savi this. The union, however, took it that that is what was meant. The infe ence was also present that as there were vacancies, union people would be put to work, but this was also a mere inference. Ethal refused to sign a agreement with the union embodying such an agreement. He stated tha he had no objection to the American Federation of Labor, or to his emp ees belonging to the union, but that he would not put back to work three four who were troublemakers. The inference was that these were leaders r the union. He would not name the three or four. T: "Mr. Koester suggested that the union accept this as a settlement. committee, however, said they would have to discuss it with the full eor mittee and with the full membership of the union. The meeting adjour » when the union representatives went back to meet with the full group. T disposition was to turn down the suggestion of Messrs. Ethal and Huber just as similar propositions had been turned down before. Most of the took the position that they would rather not work than work for the warnow being paid or the hours that the plant is now operating. The plant > now running forty-five hours a week-five nine-hour days. Ethal admitted that in the near future they would probably go to fifty hours a week. "Mr. Ethal spent a great deal of time discussing the trials of a pearl butta manufacturer and the demoralized state of cut-throat competition, the eye of the codes upon the fresh water pearl button industry after NRA ried to do anything about the salt water pearl button industry and the failure the government to put on a sufficient tariff to keep out Japanese batte A great deal of this talk was directed to Mr. Koester, who was also the super of many flattering remarks from Mr. Ethal. "The meeting broke up about 4:30 and after talking with a number the interested union people I left to catch the train at 5:23. "I asked that the grievance committee write to me as to the outcome their meeting and any further conversations with Ethal or Huber. I a asked Mr. Koester to write to me on the same matter and suggested that a of those in the meeting with Ethal prepare a statement of what transpired at the meeting." Local 20,026 made no attempt to see either Mr. Ethal or Mr. Huber following the union meeting which voted down Mr. Ethal's proposition, although it turned out that both of them left town shortly after the meeting with the committer Mr. Ethal never did return to Wabasha. Mr. Huber returned in a short time probably the same evening. Since November 16th the union has been picketing the plant frequently, athough not every working day, at opening and closing hours. The plant opened on October 30th with seventeen cutters and fourteen tav workers. At present there are thirty cutters and three time workers employe Of this group there are fourteen cutters and the three time workers who were employed at the time of the strike, according to Huber. onclusions. Although the plant was closed from June 10th until October 30th, the company as unable to re-open without having picketing and other strike activities carried n. Accordingly the strikers should be considered striking employees. The mployer-employee relationship was not terminated by the shut-down. This is urther substantiated by Huber having called the union members to a meeting in Ictober, prior to opening, for the purpose of asking them to come back to work. At the time of the strike, the strikers had a majority of 21 out of 34. When he plant re-opened Local 20,026 had 19 members-all cutters who had gone on trike June 5th, although three of these nineteen appear to have been employed Isewhere and three time workers were employed. About eleven of these cutters nd the time workers had been employed on June 5th. The union majority was hus 19 to 14. Thus local 20,026 does not have a majority now, even of those employed on June 5th, but the reason for losing the majority is clearly the obstructive tactics of the company. The company has known at all times probably, the membership of the union and the fact of the majority. By November 15th, one other person had dropped from the union, changing the majority to 18 to 15, and by December 3rd the union had lost its majority, the count standing 16 to 17. Although Huber's calling the meeting with the union, and the later meeting with Ethal and Huber are inconsistent with a failure to bargain collectively, the attitude of the company officials has not been that of men attempting to reach an agreement, rather it has been an attitude of ramming something down the throats of the union. The union, however, has not conducted its end of the negotiations in a way which throws the burden of bargaining upon the company. The company has asked the union to accept not an agreement, but a "proposition" which included a refusal to reinstate four or five unnamed "troublemakers." This condition has been included in the formula with variations, at all times since the meeting in October. Such a condition is obviously unfair and might well break up the union if it were accepted by its membership. Much of the information that has come to me has been full of inconsistencies. If testimony were given under oath, many of these inconsistencies might disappear. There appears to have been a violation not only of Sections 8 (1) and (3), but also of Section 8 (5), and I recommend that a complaint be issued, alleging violations of Sections 8 (1), (3), and (5) of the National Labor Relations Act. As to the interstate commerce phase: the claims are caught in a navigable stream, the center of which forms the boundary of the States of Minnesota and Wisconsin; the shells are purchased in both states, and trucked to the plant in Minnesota, where part of the processing is performed; the semi-finished product is then shipped to the State of New York for finishing and distribution. That the processing in Wabasha occurs in the flow of commerce is clear. (s/ ROBERT M. GATES, Regional Director. (Decision In the Matter of Pioneer Pearl Button Company, Case No. C-64, was received in evidence, marked "N. L. R. B. Exhibit No. 367-B," and is on file with the committee.) N. L. R. B. EXHIBIT No. 368 NORTH STAR GRANITE COMPANY N. L. R. B. EXHIBIT No. 368-A UNITED STATES OF AMERICA Eighteenth Region ST. CLOUD, MINNESOTA, April 20, 1938. CERTIFICATION ON COUNTING AND TABULATION OF BALLOTS We hereby certify with respect to the election among the employees of the NORTH STAR GRANITE COMPANY, Saint Cloud, Minnesota, held at the Side Office of the Granite Supply Company, Osseo Avenue North, St. Cloud, Minnesota, on |