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GILL v. MESTA MACH. CO.

UNITED STATES DISTRICT COURT, WESTERN DISTRICT OF PENNSYLVANIA


February 20, 1947

GILL et al.
v.
MESTA MALCH. CO.

The opinion of the court was delivered by: GIBSON

The court, after hearing and consideration, makes the following Findings of Fact and Conclusions of Law:

Findings of Fact

 1. Mesta Machine Company (hereinafter called the 'Company') is a corporation organized and doing business in the County of Allegheny, in the Borough of West Homestead, Pennsylvania, the principal business of which is the manufacture of steel mill equipment, including rolling mills and accessory equipment such as shears, roll lathes, grinders, accumulators, extrusion presses, and forge presses. (Complaint, Par. 3; Answer Par. 3, N.T. 58, 59.)

 2. In the process of manufacturing steel mill equipment, rolling mills, shears, grinders, accumulators, and presses, the Company has established a machine shop department, the purpose of which is to receive rough castings and forgings coming from the Company's foundry or forge shop, and machine the castings and forgings to certain drawing tolerances in preparation for final assembly. (N.T. 59, Defendant's Exhibit A.)

 3. Various departments or subdivisions of the machine department were established by the Company for its convenience and for the proper grouping of machine tools in separate units. Among such departments or subdivisions of the machine department customarily recognized, are the 280 foot Extension, the Upper End, the Small Aisle, the 900 foot Extension, the Lower End, the Ordnance Department -- Upper End and Lower End. (Defendant's Exhibit A, Defendant's Exhibit Z, N.T. 42-56.)

 4. During the periods hereinafter stated, the plaintiffs were salaried foremen and had as their primary duty the management of a department or subdivision of the machine department of the Company as follows:

 280 Foot Extension

 Edward J. Gill, July 1, 1941, to January 1, 1943.

 G. F. Ely, January 1, 1943, to June 28, 1945.

 Clinton O'Shell, January 1, 1944, to June 28, 1945.

 W. J. Mayer, January 1, 1944, to June 28, 1945. (N.T. 40, 48, 561, 291, 391, 261.)

 Upper End

 William Britton, July 1, 1941, to June 28, 1945.

 J. C. Hornfeck, January 1, 1942, to June 28, 1945. (N.T. 51, 414, 494, 261.)

 Small Aisle

 J. J. Schubert, October 1, 1940, to June 28, 1945.

 H. C. Carlson, January 1, 1939, to June 28, 1945.

 A. A. Petrichek, October 1, 1942, to June 28, 1945. (N.T. 53, 263, 267, 458, 176, 261.)

 900 Foot Extension

 Edward J. Gill, January 1, 1943, to June 28, 1945. (N.T. 55, 126, 146, 148, 261.)

 Lower End

 D. M. Wilson, January 1, 1944, to June 28, 1945. (N.T. 56, 234, 261.)

 Ordnance -- Lower End

 Walter Weir, January 1, 1942, to June 28, 1945.

 F. C. Menking, January 1, 1942, to June 28, 1945. (N.T. 57, 474, 424, 261.)

 Ordnance -- Upper End

 T. P. Daugherty, October 1, 1941, to June 28, 1945.

 J. A. Hill, October 1, 1941, to June 28, 1945. (Defendant's Exhibit 2 and testimony; N.T. 57, 314, 424, 261.)

 5. During the foregoing periods of time the plaintiffs customarily and regularly directed the work of other employees in the department or subdivision named. (N.T. 46-54, 128, 138, 145, 154, 233, 268, 293, 486, 528, 549, 588, 690, 691.)

  6. During the foregoing periods of time the suggestions and recommendations of the plaintiffs as to the firing of other employees were given particular weight. (N.T. 161, 211, 213-14, 250-253, 308, 275, 274-5, 372-3, 397, 466, 626-7, 633, 646-7, 642-6, 652, 487, 488, 489.)

 7. During the foregoing periods of time the recommendations and suggestions of the plaintiffs as to advancement and promotion of other employees were given particular weight. (N.T. 134, 351, 531-33, 570.)

 8. During the foregoing periods of time the recommendations and suggestions of the plaintiffs as to other change in status of other employees were given particular weight. (N.T. 28, 132, 230, 607, 114-5, 161, 207, 93, 96, 296, 398, 419, 472, 571-3.)

 9. During the foregoing periods of time each of the plaintiffs customarily and regularly exercised discretionary powers. (N.T. 127-8, 192, 156, 240, page references in Requests for Findings 5-8.)

 10. During the foregoing periods of time each of the plaintiffs was paid on a monthly salary basis which exceeded $ 30 per week, and was paid and received the following amounts:

 Clinton O'Shell, January 1, 1944, to June 28, 1945, $ 425.00 per month, plus 10% bonus (Defendant's Exhibit C; N.T. 261).

 G. F. Ely, January 1, 1943, to June 28, 1945, $ 425.00 per month plus 10% bonus (Defendant's Exhibit D).

 W. J. Mayer, January 1, 1944, to June 28, 1945, $ 425.00 per month plus 10% bonus (Defendant's Exhibit E; N.T. 261).

 William Britton, July 1, 1941, to December 31, 1941, $ 363.00 per month plus 6% bonus

 January 1, 1942, to April 15, 1942, $ 425.00 per month plus 6% bonus

 April 16, 1942, to June 28, 1945, $ 425.00 per month plus 10% bonus (Defendant's Exhibit F; N.T. 261).

 C. Hornfeck, January 1, 1942, to April 15, 1942, $ 425.00 per month plus 6% bonus

 April 16, 1942, to June 28, 1945, $ 425.00 per month plus 10% bonus (Defendant's Exhibit G; N.T. 261).

 H. C. Carlson, January 1, 1939, to September 30, 1939. $ 270.00, per month

 October 1, 1939, to November 30, 1940, $ 300.00 per month

 December 1, 1940, to March 31, 1941, $ 330.00 per month plus 6% bonus

 April 1, 1941, to December 31, 1941, $ 363.00 per month plus 6% bonus

 January 1, 1942, to April 15, 1942, $ 425.00 per month plus 6% bonus

 April 16, 1942, to June 28, 1945, $ 425.00 per month plus 10% bonus (Defendant's Exhibit H; N.T. 261).

 A. A. Petrichek, October 1, 1941, to December 31, 1941, $ 363.00 per month plus 6% bonus

 January 1, 1942, to April 15, 1942, $ 425.00 per month plus 6% bonus

 April 16, 1942, to June 28, 1945, $ 425.00 per month plus 10% bonus (Defendant's Exhibit I; N.T. 261).

 J. J. Schubert, October 1, 1940, to November 30, 1940, $ 300.00 per month

 December 1, 1940, to March 15, 1941, $ 330.00 per month plus 6% bonus

 March 16, 1941, to December 31, 1941, $ 363.00 per month plus 6% bonus

 January 1, 1942, to April 15, 1942, $ 425.00 per month plus 6% bonus

 April 16, 1942, to June 28, 1945, $ 425.00 per month plus 10% bonus (Defendant's Exhibit J; N.T. 261).

 E. J. Gill, July 1, 1941, to December 31, 1941, $ 363.00 per month plus 6% bonus

 January 1, 1942, to April 15, 1942, $ 425.00 per month plus 6% bonus

  April 16, 1942, to June 28, 1945, $ 425.00 per month plus 10% bonus (Defendant's Exhibit K; N.T. 261).

 D. M. Wilson, January 1, 1944, to June 28, 1945, $ 425.00 per month plus 10% bonus (Defendant's Exhibit L; N.T. 261).

 Walter Weir, January 1, 1942, to April 15, 1942, $ 425.00 per month plus 6% bonus

 April 16, 1942, to June 28, 1945, $ 425.00 per month plus 10% bonus (Defendant's Exhibit M; N.T. 261).

 T. P. Daugherty, October 1, 1941, to December 31, 1941, $ 363.00 per month plus 6% bonus

 January 1, 1942, to April 15, 1942, $ 425.00 per month plus 6% bonus

 April 16, 1942, to June 28, 1945, $ 425.00 per month plus 10% bonus (Defendant's Exhibit N; N.T. 261).

 J. A. Hill, October 1, 1941, to December 31, 1941, $ 363.00 per month plus 6% bonus

 January 1, 1942, to April 15, 1942, $ 425.00 per month plus 6% bonus

 April 16, 1942, to June 28, 1945, $ 425.00 per month plus 10% bonus (Defendant's Exhibit O; N.T. 261).

 C. Menking, January 1, 1942, to April 15, 1942, $ 425.00 per month plus 6% bonus

 April 16, 1942, to June 28, 1945, $ 425.00 per month plus 10% bonus (Defendant's Exhibit P; N.T. 261).

 11. During the foregoing periods of time none of the plaintiffs performed work of the same nature as that performed by nonexempt employees for hours exceeding 20% of the number of hours worked in the workweek by the nonexempt employees under the plaintiffs' direction.

 O'Shell, N.T. 46-47, 547, 549, 550, 569, 564; Ely, 46, 47, 291, 305, 285, 293, 309; Mayer 46-47, 376, 381; Britton 53, 414, 409-11, 888, 892, 894-5, 898-9; Hornfeck 53, 494, 499, 500, 529, 660; Carlson 54, 269-70, 272-3; Petrichek 54, 458, 452, 453, 454, 464, 718, 731-3, 736, 745-6; Gill 156, 158, 159, 677-8, 690-91; Schubert 54, 204, 208-9, 217-18, 808, 810; Weir 58, 72, 73, 476, 478, 484, 485, 486, 901, 979; Wilson 55-6, 235-6, 239-40, 249-50; Hill 58, 594, 599, 600, 606, 617, 707, 713, 222, 230, 231 1/2, 920-21; Daugherty, 58, 344-45, 347-8, 360-2, 367; Menking 424, 427, 428, 440, 441, 443, 872, 910, 912.

 12. The foregoing periods of time when plaintiffs were salaried foremen, are the only periods of time material to this case and at all other times prior to the date of bringing this action, viz., June 28, 1945, the plaintiffs were hourly-paid employees and were paid overtime as required by the Fair Labor Standards Act of 1938, 29 U.S.C.A. ยง 201 et seq. (Joint Stipulation N.T. 261; Exhibits 'C' through 'P'; Exhibit 'Q').

 13. Plaintiffs were all employees of defendant during the years 1939 to 1945 and were engaged in work admittedly in interstate commerce.

 14. The machine shop was operated on a twenty-four hour basis and during each of three successive eight-hour shifts, a general foreman was in charge thereof.

 15. Plaintiffs had no authority to hire employees.

 16. Wage rates and increases thereon are recommended by the superintendent and approved by a 'wage committee' consisting of three officers of the company, but in no wise concerning plaintiffs.

 17. No notices or orders were ever given by any of the plaintiffs in the form of sign-postings on bulletin boards in the machine shop.

 18. Plaintiffs were never called to attend any supervisory or policy meetings with their superior officials.

 19. The plaintiffs were not required to keep, nor did they actually keep, any merit ratings of the employees under their supervision.

 Conclusions of Law

 I. This Court has jurisdiction of the subject matter of and the parties to this action pursuant to the provisions of Section 17 of the Fair Labor Standards Act of 1938.

 II. All of the plaintiffs are executives as such term is defined and delimited by regulations of the Administrator and as stated in Section 13(a) of the Fair Labor Standards Act of 1938.

 III. The plaintiffs are not entitled to overtime under Sections 6 and 7 of the Fair Labor Standards Act of 1938.

 IV. The Complaint should be dismissed.

 V. The defendant is entitled to costs, including witness fees and reporting charges.

 Discussion

 This action has been brought by fourteen employees of the Mesta Machine Company to recover alleged unpaid overtime compensation and liquidated damages pursuant to Sec. 16(b) of the Fair Labor Standards Act of 1938, 52 Stat. 1060.

 The defendant admits its employment of the plaintiffs, but asserts that each of them was employed as a foreman and at work of such executive and administrative character as exempts their employment from the scope and effect of the Fair Labor Standards Act of 1938. By amendment of its Answer defendant asserted that the Statute o? Limitations prevented recovery by plaintiffs for any period preceding six years next before the commencement of the action. By stipulation it appears that the plaintiffs were each employed on a salary basis, as follows: E. J. Gill from July 1, 1941 to June 28, 1945 F. C. Menking " January 1, 1942 " June 28, 1945 J. A. Hill " October 1, 1941 " June 28, 1945 William Britton " July 1, 1941 " June 28, 1945 D. M. Wilson " January 1, 1944 " June 28, 1945 G. F. Ely " January 1, 1943 " June 28, 1945 A. A. Petrichek " October 1, 1941 " June 28, 1945 J. C. Hornfeck " January 1, 1942 " June 28, 1945 J. J. Schubert " October 1, 1940 " June 28, 1945 W. J. Mayer " January 1, 1944 " June 28, 1945 H. C. Carlson " January 1, 1939 " June 28, 1945 Clinton O'Shell " January 1, 1944 " June 28, 1945 Walter Weir " January 1, 1942 " June 28, 1945 T. P. Daugherty " October 1, 1941 " June 28, 1945

19470220

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