Transcript The Labor Relations Process 9e.

Chapter 10
Contract Administration
Copyright © 2009 Cengage Learning.
All rights reserved.
PowerPoint Presentation by Charlie Cook
The University of West Alabama
Grievances: Definition, Sources, and
Significance
• Grievance
 An employee’s alleged violation of the labor
agreement that is submitted to the grievance
procedure for resolution.
 Employee concerns (“gripes”) that are unrelated to
the terms of the labor agreement are not grievances.
 Grievances can be filed for any reason; they are
accepted or denied by management based on their
perceived merit.
© 2008 Cengage Learning. All rights reserved.
10–2
Exhibit 10.1 Examples of Incorrect and Correct Grievance Forms
SOURCE: Reprinted with permission from United Steelworkers of America, The Grievance Man’s Handbook, (n.p., n.d.).
© 2008 Cengage Learning. All rights reserved.
10–3
Written Grievances
• Advantages of Written Grievances
 Provides a written record to guide future actions and
saves time in deciding similar grievances.
 Reduces emotionalism, permitting rational discussion.
 Allows management and labor to focus on the original
grievance.
 Can discourage employees who are reluctant to sign
a written protest.
 Reduces the overall number of grievances filed.
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10–4
Defining a Grievance
• Therapeutic Approach
 Grievance versus gripe? Employee’s perception is
that he or she has a grievance, whether or not it
represents a violation of the terms of the labor
agreement.
• Legalistic Approach
 Employee believes his or her complaint is related to a
violation of the labor agreement.
 Manager can either refuse grievance or accept
grievance without prejudging its merits and later deny
the grievance without risking an unfair labor practice
charge.
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10–5
Exhibit 10.2 Potential Subjects for Grievances
Administrative Issues
Use of seniority
Promotion and Transfers
Layoffs/Recall
Work Assignments
Training
Job changes and work
restructuring
Safety and health
Discrimination
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Economics Issues
Wage rates
Wage increases
Job classifications
Wage incentives
Call-in pay
Overtime assignments
Shift differentials
Merit pay
Lump sum payments
Past practice of benefits
Employee Discipline
Reasonable rules
Fair and thorough investigation
Equal treatment/discrimination
Due process rights denial
Mitigating circumstances
Excessive penalty
Communication of the rules
Abusive behavior
Insubordination
Falsification of company records
Fighting on the job
Workplace violence/threats
Sexual harassment
Absences/tardiness
Use or possession of drugs or
/alcohol
10–6
Reasons for Employee Grievances
• Who Files:
 Employees who are younger, more active in the
union, and less satisfied with their job, supervisor, and
union.
• Why They File:
 To protest a contractual violation.
 To draw attention to a problem in the workplace.
 To make the grievant and the union feel important.
 To get something for nothing.
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10–7
Significance of Employee Grievances
• Effects of Grievances on Nonunion Firms
 Can trigger union organizing drives.
 Can cause firms to adopt grievance procedures.
• Effects of Grievance on Union Firms
 Allows unions to address employee concerns not
covered in bargaining or the labor agreement.
 Institutionalizes an orderly approach to resolving
organizational conflicts while protecting employees
from managerial abuse.
 Opens upward communications (providing “employee
voice”) in the organization.
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10–8
Exhibit 10.3 Preparation for Grievance Procedure Meetings (and for Arbitration
Hearing)
Step 1: Gather evidence
Step 2: Determine the facts and substantiate them
Step 3: Assess the facts for credibility, accuracy, and
reliability and consistency
Step 4: Frame your arguments
Steps 5 and 6: Seek coherence, consistency, and
credibility
Step 7: Prepare witness scripts
Step 8: Prepare admissibility challenges
SOURCE: Mark I. Lurie, “The 8 Essential Steps in Grievance Processing,”
Dispute Resolution Journal 54 (November 1999), pp. 81-86.
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10–9
Exhibit 10.4 Examples of Information the Union May Request
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Accident records
Attendance records
Bargaining notes
Company memos
Contracts
Correspondence
Disciplinary records
Equipment specifications
Job evaluations
Health and safety studies
Inspection records
Insurance policies
Interview notes
Job assignment records
Job descriptions
Videotapes
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Material safety data sheets
Names of witnesses
“Notes to file’’
Information details
Payroll records
Performance reviews
Personnel files
Photographs
Reports and studies
Salary records
Security guard records
Seniority lists
Supervisor’s notes
Time study records
Training manuals
SOURCE: http://www.ranknfile-ue.org/stwd_nlr.html
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10–10
Exhibit 10.5 X
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10–11
Exhibit 10.5 X
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10–12
Exhibit 10.5 X
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10–13
Different Approaches by Grievance Mediators
Transformation or
Collaborative Mediation
Evaluative Mediation
Approaches by
Grievance
Mediators
Directive or ResultsOriented Mediation
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10–14
Mediation Approaches
• Transformation or Collaborative Mediation
 The mediator tries to get the parties to discover their
own separate and mutual resources and understand
the other party’s point of view.
• Evaluative Mediation
 The mediator offers no specific solution but helps the
parties understand the strengths and weaknesses of
their position and begin working together again.
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10–15
Approaches to Mediation (cont’d)
• Directive or Results-Oriented Mediation
 Goal of the mediator is to reach a specific resolution
to the problem.
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The mediator meets with both parties, allowing the parties to
speak directly only to the mediator.
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The parties are allowed to caucus and engage in confidential
communications with the mediator.
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The mediator meets separately with the parties to move the
negotiations towards closure.
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10–16
The Usefulness of Mediation
• Why Isn’t Mediation More Commonly Used?
 The vast majority of disputes are resolved and don’t
require mediation or arbitration.
 Mediation is not a robust process and doesn’t require
problem resolution as does arbitration.
 Management views mediation as a compromise that
weakens their previous positions and that the union
will “get something” without risking arbitration.
 Mediation isn’t the favored process of professional
arbitrators.
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10–17
Other Forms of Alternative Dispute
Resolution (ADR)
• Open-Door Policies
 Encouraging employees to approach successively
higher-level supervisors to solve workplace problems.
• Ombudsperson
 A person who serves the employee advocate (“go-
between”) in resolving personnel problems.
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10–18
Other Forms of Alternative Dispute
Resolution (ADR) (cont’d)
• Peer Review Systems
 A panel of employees hears both the employee’s and
the company’s arguments, and then renders an
advisory or binding decision to resolve the matter.
• Early Neutral Evaluation
 A mutually agreed-upon third party evaluates the
merits of the problem and renders a nonbinding
advisory opinion on the matter.
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10–19
Grievance Resolution: Relationships and
Flexibility
Codified
Relationships
Power
Relationships
Grievance
Resolution
Empathetic
Relationships
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10–20
Flexible Consideration of Employee
Grievances
• The Third and One-Half Step
 A meeting of management and union representative
to discuss and trade grievances.
 The package of negotiated grievances are settled
“without prejudice”—without setting precedent to
either’s party’s position in the future.
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10–21
The Union’s Duty of Fair Representation
• Duty of Fair Representation
 The union, as the exclusive bargaining agent, has a
legal duty to fairly represent all union and nonunion
members of the bargaining unit alike.

Bargaining unit employees give up their individual right to
represent themselves when they elect the union as the
exclusive bargaining agent.
 Meeting the legal duty requires that unions must
consider the interests of all members, take their
positions honestly, in good faith, and without hostility
or arbitrary discrimination.
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10–22
Duty of Fair Representation Cases
• Jurisdiction
 District courts have jurisdiction over breach of fair
representation claims.
 Employees claiming breach of fair representation
have a right to a jury trial if claiming backpay.
• Vaca v. Stipes
 The burden of proof for breach falls on the employee.
 The union does not have to take a grievance to
arbitration.
 The courts should only consider the union’s
obligation, not the merit of the case.
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10–23
Exhibit 10.7 Seven Golden Rules on the Union’s Duty of Fair Representation
1. Consider all grievances solely on their merits.
2. Investigate each grievance promptly and vigorously.
3. Do not miss time limits.
4. Keep records.
5. Keep the grievant informed.
6. Have a valid reason for any action.
7. If the grievance lacks merits, drop it.
SOURCE: http://www.umass.edu/usa/dutyfairrep.htm.
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10–24
Duty of Fair Representation Breaches
• Perfunctory Conduct by the Union Making It
Liable for Breach of Representation:
 Providing inadequate defense of the grievant at an
arbitration hearing.
 Delaying grievance processing until the time limits in
the grievance procedure have expired.
 Failing to inform the grievant that the union accepted
a different remedy than that asked by the grievant.
 Failing to keep members informed about an
arbitration award that affects members’ seniority
rights.
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10–25
Duty of Fair Representation: Discharge
• Bowen v. United States Postal Service
 Supreme Court found the company had wrongfully
discharged the employee, ordering reinstatement and
back wages.
 The Court found the union failed to fairly represent
the employee in not pursuing his grievance.
 The Court apportioned the back wages due the
employee:
The company: wages from termination until the union ceased
representation and employee sued the company.
 The union: wages from after cessation of representation until
reinstatement of the employee.

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10–26
Exhibit 10.8 Determination of the Union’s and Company’s Proportional Liability
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10–27
Key Terms
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Grievance
Employee voice
Arbitration
Mediation
Grievance mediation
Directive or results-oriented mediation
Transformation mediation
Open-door policy
Ombudsperson
Peer review panel
Early neutral evaluation
Codified relationships
Power relationships
Empathetic relationships
Third-and-one-half step
Fair representation obligation
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10–28