Collective Bargaining
Starasr
Ch.8HolleyPPTFinal.ppt© 2017 Cengage Learning®. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
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Chapter 8
© 2017 Cengage Learning®. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
© 2017 Cengage Learning®. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
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Administrative Issues
Contract Negotiations and Administration
Job Security and Seniority
Employee Training
Work Restructuring
Safety and
Health
Technological Change
© 2017 Cengage Learning®. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
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© 2017 Cengage Learning®. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
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Technological Change and Job Protection
- Technological Change
Involves the introduction of labor-saving machinery.
Produces changes in material handling and work flow.
Is a nonmandatory bargaining issue.
- Automation
Machines and automatic controls displace humans who formerly did the same work.
Alters job characteristics and required skills.
© 2017 Cengage Learning®. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
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© 2017 Cengage Learning®. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
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Phases of Technological Change
Development
Phase
Resource Allocation
Phase
Implementation
Phase
© 2017 Cengage Learning®. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
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© 2017 Cengage Learning®. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
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Phases of Technological Change
- Development Phase
Choices are made about the design and configuration of the new technology.
- Resource Allocation Phase
Organizational units’ claims for resources are evaluated.
- Implementation Phase
The new technology is constructed, put in service, and modified if necessary.
© 2017 Cengage Learning®. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
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© 2017 Cengage Learning®. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
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How Unions Protect Job Interests from the Effects of Technological Change
- Negotiating contract language.
- Lobbying for or against government regulation and assistance programs.
- Providing direct services to members to assist them in adjusting to or coping with change.
- Becoming voluntarily involved in the technology selection process.
High Performance Work Organization (HPWO)
Saves and creates jobs and is globally competitive
© 2017 Cengage Learning®. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
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© 2017 Cengage Learning®. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
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Positive Effects of Technological Change
- Higher productivity that produces greater wealth with less effort
- The elimination of menial and dangerous jobs
- Higher wages and better working conditions
- Shorter hours
- Increased skill levels that increase pay and result in a higher standard of living
© 2017 Cengage Learning®. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
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© 2017 Cengage Learning®. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
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Negative Effects of Technological Change
- Elimination and deskilling of jobs that lowers pay and reduces job security
- Displaces intellectual skills of human operators
- Incurs higher capital investment requirements
- Increased productivity results in market oversupply, causing product prices to decrease
- Increases the capability for monitoring employee activities and performance
© 2017 Cengage Learning®. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
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© 2017 Cengage Learning®. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
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Job Security and Personnel Changes
Job Security Work Rules
Job Content
Working Hours
Seniority
Wages
Training
Job Assignment
© 2017 Cengage Learning®. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
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© 2017 Cengage Learning®. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
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Plant Closures, Downsizing, and WARN
- Worker Adjustment and Retraining Notification Act (WARN) of 1988
Covers employers with 100 or more employees.
Requires 60 days’ advance notice of plant closing or major layoff involving one-third of the workforce.
Exempts firms in financial collapse and unforeseen operational difficulties.
Has no designated agency to enforce the act; employees and unions must sue their employer to recover damages.
© 2017 Cengage Learning®. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
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© 2017 Cengage Learning®. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
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Subcontracting, Outsourcing, and Work Transfer
- Subcontracting
Contracting work to an outside vendor when the employer cannot do all or part of the work or when the vendor can do the work at a lower cost.
- Outsourcing
Contracting work that the employer does not do to an outside vendor to reduce costs.
- Offshoring
Movement of work from a company location within the United States to locations outside of the United States
- Work Transfer/Relocation
Moving work to another facility or location.
© 2017 Cengage Learning®. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
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© 2017 Cengage Learning®. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
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Subcontracting and the LMRA
- Subcontracting is not a mandatory bargaining issue when:
It is motivated solely by economic conditions.
It is a common method of business in the industry.
It follows previous similar subcontracting practices.
It has no adverse impact on current bargaining-unit employees.
The union has been given the opportunity to bargain over changes in subcontracting practices.
© 2017 Cengage Learning®. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
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© 2017 Cengage Learning®. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
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Subcontracting and Arbitration
- Factors in Management’s Right to Subcontract:
Presence and clarity of labor contract language concerning management’s subcontracting rights
Established past subcontracting practices
History of prior subcontracting negotiations
The intended duration of the subcontracting decision
Employer’s business justification for subcontracting
Evidence of union animus in the subcontracting decision
© 2017 Cengage Learning®. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
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© 2017 Cengage Learning®. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
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Work Relocation
- Employers do not have a duty to bargain over relocated work if:
Performance of the relocated work is significantly different from the previous location.
Labor costs were not a factor in relocating the work.
The union could not have offered significant labor cost concessions to affect the relocation decision.
- Duty to bargain over the effects of work relocation
Transfer rights, severance pay, pension rights
© 2017 Cengage Learning®. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
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© 2017 Cengage Learning®. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
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Work Assignments and Jurisdiction
- Jurisdictional Disputes Occur When:
Two or more unions representing different bargaining units claim work for their members.
Workers claim work that should be rightfully theirs has been assigned outside the bargaining unit.
Workers within the bargaining unit disagree among themselves over work assignment.
© 2017 Cengage Learning®. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
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© 2017 Cengage Learning®. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
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Exhibit 8.1 Example of a Work Jurisdiction Clause
© 2017 Cengage Learning®. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
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© 2017 Cengage Learning®. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
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Jurisdictional Disputes and the NLRB
- Factors considered by the NLRB in resolving jurisdictional disputes:
Skills and work experience required to perform the work
Union certifications already awarded by the NLRB
Industry and local practices
Prior arbitration decisions
The employer’s desires
Cost effectiveness and efficiency in assigning the work to a particular unit or craft
© 2017 Cengage Learning®. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
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© 2017 Cengage Learning®. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
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Work Scheduling
- Flextime
Allows an employee to start and finish work at his or her discretion, as long as the specified total number of hours per week or per day are worked and the employee is present at work during a core-hour period.
- Compressed Workweek
Consists of four 10-hour work days with three days off each week or eight 9-hour days and one 8-hour day permitting one extra day off every two weeks.
© 2017 Cengage Learning®. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
© 2017 Cengage Learning®. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
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Seniority and Personnel Changes
- Seniority
An employee’s continuous service with the firm.
An objective measure that is readily determined.
Possessed by all employees covered by the contract.
Used to apportion out rights unrelated to job performance:
Benefit rights: eligibility for and scheduling of vacation time
Job rights: bidding on jobs, layoffs, shift preferences, bumping during layoffs
Superseniority
Protects certain union officials from layoff to assure continuity in the functioning of the union.
© 2017 Cengage Learning®. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
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© 2017 Cengage Learning®. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
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Alternatives to Layoffs
- Voluntary leave
- Early retirement
- Working hours reduction
- Rotating layoffs
- Work relocation
- Job sharing
- Pay freezes
- Pay cuts
- Work rule changes
- New products
- Normal attrition
- Hiring freezes
© 2017 Cengage Learning®. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
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© 2017 Cengage Learning®. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
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Legal Issues Involving Seniority
- Supreme Court Decisions
Bona fide (lawful) seniority systems are permitted.
Employees can be awarded retroactive seniority as a remedy for past discriminatory practices.
The use of seniority in layoffs is permitted where the layoff may or does adversely impact minorities.
Reverse discrimination claims are not valid if the affirmative action plan:
Is a negotiated settlement between the union and employer.
Does not harm majority employees (loss of jobs).
Doesn’t exclude majority employees from advancement opportunities.
© 2017 Cengage Learning®. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
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© 2017 Cengage Learning®. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
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Americans with Disabilities Act (ADA)
- Reasonable Accommodation
Requires employers to make adjustments to job for qualified persons with disabilities who can carry out the essential functions of the job.
Cannot conflict with other employees’ seniority rights.
Does not require the lowering of behavior or performance standards.
© 2017 Cengage Learning®. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
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© 2017 Cengage Learning®. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
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Types of Employee Training
- Formal Programs
Apprenticeships
New employee orientation
Safety and health
Basic skills
Job-specific skills
Workplace practices
- Informal Training
On-the-job
Mentoring
© 2017 Cengage Learning®. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
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© 2017 Cengage Learning®. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
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Work Restructuring
- Work Restructuring Programs
Employee involvement
Worker participation
Cross-training
Multiskilling
Self-managed work teams
- Benefits of Innovative Practices
Increased energy, creativity, and dignity for employees
Increase profits for employers
© 2017 Cengage Learning®. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
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© 2017 Cengage Learning®. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
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Safety and Health
- Factors prompting the inclusion of safety and health clauses in labor agreements:
The standards and provisions of the Occupational Safety and Health Act (OSHA) of 1970
Emergence of new biological, ergonomic, and chemical hazards in the workplace
Rising health care treatment costs
Increases in legal claims by injured workers
© 2017 Cengage Learning®. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
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© 2017 Cengage Learning®. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
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Key Terms
- Technological change
- Automation
- Effects bargaining
- High performance work organization (HPWO)
- Deskilling
- Psychological contract
- Job security
- Featherbedding
- Worker Adjustment and Retraining Notification Act (WARN)
- Subcontracting
- Outsourcing
- Offshoring
- Fibreboard ruling
- Jurisdictional disputes
- Instructional situations
- Experimental work
- Emergency situation
- Flextime
- Compressed workweek
- Seniority
- Benefit rights
- Competitive job rights
- Bumping rights
- Superseniority
- Job sharing
© 2017 Cengage Learning®. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
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© 2017 Cengage Learning®. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
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Key Terms (cont’d)
- Work sharing
- Organizational justice
- Distributive justice
- Procedural justice
- Interpersonal justice
- Informational justice
- Americans with Disabilities Act of 1990
- Reasonable accommodation
- Work restructuring
- Semi-autonomous work teams
- Self-managed work teams
- Occupational Safety and Health Act (OSHA)
© 2017 Cengage Learning®. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
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