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LOCAL 7-210, O.C.A.W. INT. U. v. UNION TANK CAR CO.

September 20, 1971

LOCAL 7-210, OIL, CHEMICAL AND ATOMIC WORKERS INTERNATIONAL UNION, AFL-CIO, PLAINTIFF,
v.
UNION TANK CAR COMPANY, DEFENDANT.



The opinion of the court was delivered by: Parsons, District Judge.

MEMORANDUM OPINION AND ORDER

This is an action by Local 7-210, Oil, Chemical and Atomic Workers International Union, AFL-CIO (OCAW) against Union Tank Car Company (Company) to enforce the damages portion of a labor arbitration decision. Jurisdiction is based on Section 301 of the Labor Management Relations Act, 29 U.S.C. § 185. Both parties moved the Court to dismiss and/or for summary judgment. A brief reiteration of the facts as found by the arbiter is necessary for a full understanding of the case.

In addition to the Company's many other phases of business, it is also engaged in the manufacture of railway tank cars and in repair and maintenance of completed tank cars in East Chicago and Whiting, Indiana. The tank car shells were built in the Company's Graver Plant in East Chicago and then shipped to its Whiting Plant for the final finishing work. OCAW has represented the employees at the Whiting Plant since 1959, and the International Brotherhood of Boilermakers, Iron Ship Builders, Blacksmiths, Forgers, and Helpers, Local 374 (Boilermakers) has represented the employees at Graver Plant in East Chicago since 1945. Both East Chicago and Whiting are in the Calumet area of Indiana.

In 1966, the Company purchased a vacated plant about three miles away from its Whiting Plant and across the street from its Graver Plant in East Chicago. The plant, since remodelled and known as Plant No. 1, was designed and built as an integrated tank car manufacturing plant with the object of using it as an additional manufacturing facility in the Calumet area. In late 1966, the Company received a special order for foam insulated tank cars, which, because of time schedules, it decided to have built and finished in Plant No. 1. Upon learning that Boilermakers were doing the finishing work, OCAW protested and filed a grievance pursuant to its collective bargaining agreement charging the Company with a violation of Article II, Section 1, of its agreement. Said agreement states:

ARTICLE II

Recognition; Union Security; Checkoff

  Section 1. This Agreement shall apply only to the
  operations of the Company at its Whiting, Indiana
  plant; provided, however, if such plant or operation
  is moved to another location in the Calumet area,
  this Agreement shall also apply to such other
  location.

In the grievance discussions which followed, the Company declared that the protested job was only a temporary one and that the employees assigned on it would return to the Graver Plant when it was finished.

On March 31, 1968, the Company and the Boilermakers negotiated a successor agreement to replace the one which expired on that date. In said agreement, the Boilermakers recognition as bargaining agent was extended to Plant No. 1. The arbiter was of the opinion that when the Boilermakers recognition was extended to Plant No. 1 "there was no thought in anyone's mind that the Whiting finishing operation would be relocated there. * * * It is much more realistic to suppose that both the Company and the Boilermakers negotiators understood the extension of recognition to cover only the fabricating work that was `presently' being performed at the Graver Plant and not the finishing operation which was being performed at Whiting."

Said agreement states in part:

ARTICLE I

Recognition and Relationship

  Section 1. Recognition and Bargaining Unit. The
  Company recognizes the Brotherhood as the sole
  collective bargaining agent for wages, hours and
  working conditions representing the following
  appropriate unit, namely, all production and
  maintenance employees at the Company's plant at 151st
  and Railroad Ave., East Chicago, Indiana [Plant No.
  1's location] * * *.

The new Company-Boilermakers agreement effective April 1, 1971, adds some weight to the arbiter's ...


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