Mayers v. Loew's Inc., L

• Citation: 221 P.2d 26,35 Cal.2d 822
• Decision Date: 25 August 1950
• Docket Number: No. L,L
• Court: United States State Supreme Court (California)
• Parties: , 18 Lab.Cas. P 65,974 MAYERS et al. v. LOEW'S Inc. A. 21480

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221 P.2d 26 35 Cal.2d 822, 18 Lab.Cas. P 65,974 MAYERS et al.
v.
LOEW'S Inc. No. L. A. 21480. Aug. 25, 1950.
Rehearing Denied Sept. 21, 1950.

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[35 Cal.2d 823] Loeb & Loeb, Keating Coffey, all of Los Angeles, Adrian A. Kragen, San Francisco, and Herman F. Selvin, Los Angeles, for appellant.

Mohr & Borstein and Alfred J. Borstein, all of Los Angeles, for respondents,

TRAYNOR, Justice.

Plaintiffs brought this action to recover a bonus of one-half their regular daily wage allegedly due them for the period July 1, 1941 to August 30, 1942 under the terms of a collective bargaining agreement between Local 728, International Alliance of Theatrical Stage Employees and defendant motion picture studio. Defendant appeals from a judgment entered for plaintiffs.

Plaintiffs are members of Local 728. During the period for which compensation is sought they were employed by defendant on its night rigging crew. With minor exceptions not here material, their work shift began at nine P. M. During the fall and winter of 1941 negotiations for a new collective bargaining agreement covering all the major studios in Hollywood, including defendant, were conducted between IATSE through its international representative and the business agents of the various Hollywood locals, and the studios through Fred Pelton as Producers' Labor Administrator and Part Casey as chairman of the Motion Picture Producers' [35 Cal.2d 824] Association. They resulted in a tentative agreement in January, 1942, providing for a general ten percent wage increase for employees in all classifications. That increase was paid by the studios during 1942. Paragraph 6 of the agreement also provided:

'6. Shifts The Work Day shall be divided into four shifts of six hours each. First shift may start between six a. m. and eight a. m. Men called to start work two or more hours after the start of the third regular shift shall be considered as performing work on the fourth (graveyard) shift.

'The first three shifts shall be paid for at straight time; the fourth (graveyard) shift at straight time plus a bonus of 1/2 time.'

Paragraph 53 of the agreement provided for the payment of wage increases retroactive to July 1, 1941.

The bonus specified in paragraph 6 was retroactively payable only to employees whose shifts began two or more hours after the starting time of the third shift. Since defendant's third shift began at eight P.M., plaintiffs, who came to work at nine P. M. during that period, were not 'considered as performing work on the fourth (graveyard) shift,' and consequently were not entitled to the bonus.

Following the circulation of the tentative agreement the parties continued negotiations for a final agreement. From time to time as modifications in the tentative agreement were agreed upon, they were announced in bulletins issued by the producers' representatives. During the negotiations the parties agreed to establish a standard starting time for the graveyard shift to replace the variable time dependent on the starting time of the third shift then provided by paragraph 6 of the tentative agreement. The new starting time was announced

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by a bulletin issued over Pelton's signature:

'August 24, 1942

'Notice To All Studios

'Subject: Standard Starting Time of 'Groveyard Shift.'

'Re: Wage Scales and Working Conditions for the following I.A.T.S.E. Unions.

'Q. Local No. 80 Grips

'R. Local No. 728 Lamp Operators

'T. Local No. 44 Property Craftsmen

'V. Local No. 727 Laborers

'X. Local No. 165 Projectionists

'Y. Local No. 695 Sound Technicians

[35 Cal.2d 825] 'Effective August 30, 1942, the first paragraph of Section 6 in the above references will be replaced and superseded by the following:

'6. Shifts The Work Day shall be divided into four shifts of six hours each. First shift may start between six a.m. and eight a.m. Men called to start work at nine p.m. or later shall be considered as performing work on the fourth (graveyard) shift.

'F. E. Pelton'

Workers reporting to work at nine P. M. were thus newly classified as graveyard shift workers, and the effective date of the change was August 30, 1942. There was no reference to paragraph 53 providing that wage increases such as the graveyard shift bonus were to be paid retroactively to July 1, 1941.

The tentative agreement and the modifying bulletins were sent to the printer for the printing of the formal contract. The printed copies of the formal contract were delivered to the union in January 1943, and were signed by the business agents of the locals. They were thereupon delivered to Pelton's office for the approval and signature of the representatives of the studios. Paragraph 6 of the formal contract provided a nine P. M. starting hour for the graveyard shift but did not provide an August 30, 1942, effective date as provided in the bulletin of August 24th. Paragraph 57 of the contract contained the same provision for retroactive payment of the wage increases as paragraph 53 of the tentative agreement.

Before the agreement was signed by the studio representatives or delivered to the union, Pelton dictated the following letter for...