Transcript Mgmt 383 - Directory Viewer

Mgmt 383
Chapter 17
Union-Management Relations
Spring 2008
Why Employees Join Unions
• Dissatisfaction with working environment.
• Inadequate staffing
• Mandatory overtime
• Dissatisfaction with compensation.
• Benefits.
• Non-competitive pay
• Dissatisfaction with organization treatment
• Concern for job security
• Ignore complaints
• Dissatisfaction with management style.
• Inconsistency in treatment by superiors.
• Lack of recognition
• Fear or intimidation
The State of Unions in America
• Types of Unions.
• Craft unions - One craft, one union.
• Union membership is limited to members of a
specific craft (example: IBEW, UBCJA ).
• Exercise economic power by controlling the supply
of the craft.
• Control apprenticeship.
• Trace history to the guilds.
The State of Unions in America
• Types of Unions.
• Industrial unions - One industry, one union.
• Union membership open to employees of a specific
industry (example: UAW, USW).
• Exercises economic power only by political fiat.
• In recent years, industry designations have become
meaningless.
Union Structure
• Union Structure.
• Federation - a group of autonomous
national/international unions (AFL-CIO)
• National Unions – an organization of local
unions.
• Local Unions – workers organized around a
particular employer or geographic area.
Union Structure: Locals
Membership Meeting
Stewards
President
Vice President
Secretary
Treasurer
Sergeant-atArms
The State of Unions in America
• Since July 2008 unions account for less than
12.4% of the total work force (public and private).
• By 2008, about 7.6% of the private sector was
organized (up from 7.5% in 2007).
• The number of persons belonging to a union rose
by 428,000 in 2008 to 16.1 million.
• Unions are now more prevalent in the public-sector
(38.7%) than in the private.
Source: BLS (2008). Union Members Summary. http://www.bls.gov/news.release/union2.nr0.htm
Union Membership 1935-2007
•
•
•
•
•
•
•
•
•
1935
1945
1955
1965
1975
1985
1995
2007
2008
•
•
•
•
•
•
•
•
•
13.2%
35.5%
33.2%
28.4%
25.5%
18.0%
14.9%
12.1%
12.4%
Union Membership Worldwide
2008
•
•
•
•
•
•
•
France
U.S.
Japan
Germany
Canada
UK
Norway
•
•
•
•
•
•
•
8.3%
12.4%
19.7%
22.6%
28.4%
29.3%
53.3%
Factors Contributing to Union
Decline
• Geographic changes
• Industry has relocated to right-to-work states
(the South and Southwest).
• Low skilled job have moved to Mexico.
• NAFTA has accelerated the movement of low
skill jobs from the country.
Factors Contributing to Union
Decline
• Workforce changes
• Moving from a manufacturing to a service economy.
• More white-collar workers (less likely to organize).
• More women (lees likely to join unions).
• Private Sector Employers Have Taken
Proactive Measures to Avoid Organizing
Efforts.
• Good wage and benefit programs
• Increased emphasis on employee participation.
Railway Labor Act (RLA) of
1926
• Gave railway workers the right to organize
without interference.
• Objectives
•
•
•
•
•
Avoid service interruptions
Eliminate restrictions on joining a union
Guarantee workers right to self-organize
Provide for prompt grievance resolution
Enable prompt grievance settlement
Norris LaGuardia Act of 1932
• Yellow dog contracts unenforceable in
federal courts
• More difficult to get federal injunctions
National Labor Code
• National Labor Relations Act (Wagner
Act) of 1935
• Labor Management Relations Act (TaftHartley Act) of 1947
• Labor Management Reporting and
Disclosure Act (Landrum-Griffin Act) of
1959
National Labor Relations
Board
• Creates the National Labor Relations Board
(NLRB) - § 3
• Enforces the NLRA
• Investigates unfair labor practice charges.
• Oversees certification elections and the recognition
process
• Composition:
• Five members serve 5-year terms
• Appointed by the president
• Confirmed by the Senate
National Labor Relations Act
• Called the Magna Charta of Labor
• § 7 Employees Right to Organize
• Employees have the right to organize without
interference
• Employees have the right to bargain
collectively
• Employees have the right to strike for better
conditions
• Employees have the right not to organize
(Employee Free Choice added in 1947)
National Labor Relations Act
• § 8(a) Unfair Labor Practices by Management
• Interfering with, restraining, or coercing
employees in the exercise of their § 7 rights § 8(a)(1).
•
•
•
•
•
Threatening discharge
Spying
Threatening to move the plant (run away plants)
Bribing or extorting employees for their votes
Questioning employees about their votes
National Labor Relations Act
• § 8(a)(2) Unlawful Domination. Prohibits
company unions - Broadly worded:
• Interferes with labor organization’s formation
• Interferes with labor organization’s administration
• Provides financial support to a labor organization
• Employee participation programs violate § 8(a)(2)
Electromation v. IBT, 309 N.L.R.B. no. 163 (1992) and
Dupont v. Chemical Workers Association, 311
N.L.R.B. 88 (1993).
National Labor Relations Act
• § 8(a)(3) Unlawful Discrimination Based
on Union Membership:
• Cannot discriminate against union [or nonunion]
employees with regard to their conditions of
employment
• Requires proof of employer’s intent to discourage
union membership
• Examples:
•
•
•
•
Discharging pro union employees
Refusing to hire pro union applicants
Constructive discharges
Superseniority to permanent strike replacements
National Labor Relations Act
• § 8(a)(4) Whistleblowers Clause:
• Cannot retaliate against an employee who files an
unfair labor practice complaint against the
employer.
National Labor Relations Act
• § 8(a)(5) Obligation to Bargain in Good
Faith:
• Employer must bargain with the bargaining units
recognized/certified bargaining agent
• Mandatory Bargaining Issues:
• Wages
• Hours
• Conditions of Employment
Three Types of Bargaining
Issues
• Mandatory – required by law.
• Wages
• Hours
• Conditions of employment
• Prohibited – forbidden by law.
• Closed shops
• Permissive – anything that isn’t mandatory or
prohibited.
• Employee discounts
• Benefits for retirees
• Union logos on products
Labor Management Relations
Act
• § 8(b)(1) Employee’s § 7 Rights § 7
• Employee’s Right to Free Choice - § 8(b)(1)(a)
• Union cannot interfere with employees § 7 rights.
• Examples:
• Picket line violence
• Threats of violence to nonunion employees
• Threaten loss of job to nonunion employees if the union
wins certification
• Entering into a recognition agreement when the union
does not have a majority showing of interest
Labor Management Relations
Act
• Fair Representation - § 8(b)(2)
• Unlawful to force any employer to discriminate
against non-union m,embers of the bargaining
unit.
• Demanding different wages or benefits based
on union membership.
• Failing to submit a grievance based on union
membership.
Labor Management Relations
Act
• Bargain in Good Faith - § 8(b)(3)
• Unions cannot refuse to collectively bargain
with an employer.
• No “take or leave it “ultimatums.
Labor Management Relations
Act
• Secondary Boycotts - § 8(b)(4)
• Unlawful strikes against neutral third parties.
• Forcing an employer to cease doing business
with another employer against whom the union
is striking
Labor Management Relations
Act
• Excessive Dues & Fees - § 8(b)(5)
• Unlawful for the union to charge a fee that the
NLRB would consider excessive or
discriminatory.
Labor Management Relations
Act
• Anti-Featherbedding Clause - § 8(b)(6)
• Featherbedding - payment for services not
performed or not to be performed.
Labor Management Relations
Act
• Limitations on Organizational Picketing § 8(b)(7)
• No picketing when a certified bargaining agent
is already in place
• No picketing within 12 months of the last
certification or decertification election.
Right-to-Work Laws
• Right-to-Work Laws - § 14(b)
• Nothing in this Act shall be construed as
authoring the execution or application of
agreements requiring membership in a labor
organization as a condition of employment in
any State or Territory in which the execution or
application is prohibited by State or Territorial
law.
• 22 states have passed “right-to-work’ laws.
Right-to-Work States (22)
•
•
•
•
•
•
•
•
•
•
•
Alabama
Arizona
Arkansas
Florida
Georgia
Idaho
Iowa
Kansas
Louisiana
Mississippi
Nebraska
•
•
•
•
•
•
•
•
•
•
•
Nevada
North Carolina
North Dakota
Oklahoma (2001)
South Carolina
South Dakota
Tennessee
Texas
Utah
Virginia
Wyoming
Continuum of Compulsory
Union Membership
Maintenance of
Membership
Shop
Exclusive
Bargaining
Rights
Open
Shop
Agency
Shop
Modified
Union
Shop
Right-to-Work
Union
Shop
Closed
Shop
Preferential
Union
Shop
Labor Management Relations
Act
• National Emergency Dispute Resolution §§ 206-210
• Must involve an actual or threatened strike or
lockout affecting an entire industry, or a
substantial part thereof, that if permitted would:
• Imperil national health
• Imperil national safety
Labor Management Relations
Act
• National Emergency Dispute Resolution
Process
• President forms a board of inquiry which
investigates and reports on the magnitude of the
strike or lockout.
• President may direct the Attorney General to
petition any federal district court for an 80-day
injunction
Labor Management Relations
Act
• National Emergency Dispute Resolution
Process cont’d
• The FMCS will be sent in to attempt mediation
• At the end of 60 days the board of inquiry reports any
progress to the president.
• President may make the report available to the public.
• NLRB within the next 15 days makes the employer’s
final offer available to each employee for individual
balloting.
Representation Process
Authorization Card Campaign
Recognition
[50% + 1]
Certification
[30%]
File recognition
petition
File Certification
Petition
Consent Election
Decree
Collective Bargaining
Begins
Formal Election
Hearing
Election
[Simple Majority of Ballots Cast]
Representation Process
• Salting - the practice of unions using paid
organizers to apply for jobs at a targeted
employer for the purpose of infiltrating and
organizing other workers.
• Permits coverage under Republic Aviation.
Change In the Recognition Process
•
EFCA proposes to change the recognition
process by:
(1) Having the NLRB certify any union receiving a
showing of interest greater than 50% during the
authorization card campaign.
(2) Situations in which the union receives less than a
majority showing of interest will be resolved by
an secret ballot election.
•
In effect, all organization efforts begin as a
card check.
EFCA Representation Process if
Showing of Interest is <50%
Authorization Card Campaign
Certification
[30%]
File Certification
Petition
Consent Election
Decree
Formal Election
Hearing
Representation Election
NLRB Bargaining Order
EFCA Representation Process if
Showing of Interest is >50%
Authorization Card Campaign
File Certification
Petition
Formal Election
Hearing
NLRB Issues Bargaining
Order
Bargaining Orders
• Under the EFCA unions can demand that
employers begin CBA negotiation within 10
days of certification.
Interest Arbitration for the
Private Sector
• If an impasse cannot be reovled within 90
days, either party can request mediation from
the FMCS.
• If mediation fails to resolve the impasse
within 30 days, the EFCA provides for
binding interest arbitration.
• If the contract is decided by arbitration, the
bargaining unit does not ratify the CBA.
Time frames
• 10 days following certification: Bargaining
order.
• 90 days after impasses: mediation
• 30 after mediation fails: interest arbitration.
Components of the CBA
• Wage Issues
• Wage & effort.
• Benefits
• Premium Pay
• Nonwage Issues
• Union security/recognition of the union (level of
compulsory membership)
• Individual security/ seniority
• Management rights
• Discipline/discharge
• Grievance procedure
Components of the CBA
• Nonwage Issues (continued)
•
•
•
•
No strike/no lockout
Contract term/duration
Safety
Checkoff clause
Five Types of Strikes
•
•
•
•
•
Economic
Unfair Labor Practice
Sympathy
Jurisdictional
Unlawful
Wildcat
Grievance Management
• Grievance - any violation of the the
collective bargaining agreement.
• Interpretation of the CBA.
• Unilateral modification of the CBA.
• Refusal to abide by its provisions
Rights Arbitration
• Arbitration - a quasi-judicial process in which
parties agree to submit an unresolved dispute to
neutral third-party binding settlement.
• Rights Arbitration - arises over interpretation of the
CBA’s meaning or entitlement to its provisions (post CBA
ratification).
• Interest Arbitration - during CBA negotiations.