labor relations class exam via blackboard
Institutional issues
Rights and Duties
Employer
Union
Employee
Union Membership (Security)
Management Rights
1
Union security
Closed Shop
Union Shop
Maintenance of Membership
Agency Shop
Preferential Shop
Unions want security clauses to address 3 concerns:
Rival union could solicit members and take over
Employer could convince employees they don’t need the union
Free Riders – no protection against employees who don’t join union but still get benefits, and union is obligated to represent them.
Closed Shop – employee must join union before starting job – so employer can only hire union members. Union becomes employment agency.
Union Shop – employee must join union within designated period of time.
Maintenance of Membership Clause (rare) – employee chooses whether or not to join union. If joins, must stay in union for duration of contract (or give up job). Negotiated window of time to withdraw at end of contract, or must remain member through new contract.
Agency Shop – employees don’t have to join union, but have to pay dues. The justification is employees get benefits of union activity and representation even if they don’t join. Sometimes religious objectors can have money sent to a charitable organization instead of the union.
Preferential Shop – union members are given preference in hiring, but employer can hire non union members. Controversy over the definition of the word “preference”!
2
Legal considerations with union security
Taft-Hartley restrictions
Required date to join
Loss of union membership
Checkoff Requirements
Right to Work Laws
Taft-Hartley forbids requiring new workers to join the union unless 30 days of the effective date of the contract, or on the 1st date of employment, whichever is later. This is only for new employees.
Taft-Hartley also forbids the union to require an employer to fire an employee because of loss of union membership, unless the loss of membership is for nonpayment of union dues or fees. If the employee is expelled from the union the employer cannot be forced to terminate the employee.
-The employee’s only obligation to the union is to pay dues and fees. There is no obligation for the employee to attend meetings or participate in the union in any way.
Checkoff – dues collection system. The employer agrees to deduct union dues from employees and send the money to the union.
-Under Taft-Hartley the employer must have written authorization by the employee.
-Authorization can only be irrevocable for one year or the duration of the contract, whichever is shorter.
-Employers agree to checkoff because better than having union try and collect dues at the workplace.
Right To Work Laws – forbid the union or employer to require any type of membership in the union. Adopted by 24 states as of today.
3
Union obligations
No strike clause
Wildcat Strikes
Boys Market v. Retail Clerks
Agreement to not interfere with production
The union must agree to something in order to obtain a security clause. Virtually every contract has a “No Strike” clause.
-The union agrees not to strike for the duration of the labor agreement.
-All disputes to be resolved through the grievance and arbitration processes.
Wildcat Strikes – strikes by union members that are unauthorized by the union. Not only a violation of the no strike clause, also Illegal under the Wagner Act (NLRA). Employers can fire employees who participate in wildcat strikes.
Boys Market v. Retail Clerks – the Supreme Court ruled that if the contract has a no strike clause and an arbitration procedure, then a federal court can issue an injunction to end a strike and order arbitration.
Arbitrators have upheld that any slowdown, or union generated action that interferes with production violates the no strike clause.
Also, union usually agrees in the contract not to use the employer’s time or property to conduct union activity that interferes with efficient operations. This is highly subjective, and interpretation often causes grievances.
4
Management rights
Residual
Trusteeship
Codetermination
ESOPs
Quality of Work Life
Management is responsible for efficiency and profitability of operations and doesn’t want any restrictions on its decision making. Unions seek to limit managements authority to make decisions that it feels aren’t in the best interest of the union or its members.
Management Rights is the clause that gives management the right to make decisions that affect operations and its workforce.
Residual – anything not specified in labor agreement is managements right to determine. (Most common)
Trusteeship – Employer is willing to discuss (but not necessarily agree to) demands that could limit its authority.
Codetermination – workers participate on BOD of company. Neither union nor management traditionally in favor of this. Rare in US.
ESOPs – labor traditionally didn’t like because 1. employees would identify with and see the positive side of management, feel less need for the union, 2. A decline in the price of company stock would hurt employees. At times the only way management would increase payroll, by compensation tied to the company’s financial performance. Gives employees “ownership” in the company.
Quality of Work Life – joint worker/management problem solving. Allows for direct participation by employees in day to day on the job decision making.
-Dealing with terms and conditions of employment? Electromation?
5