Chapter 11: Managing Labor Relations

What was the Landrum-Griffin Act (officially called the Labor Management Reporting and Disclosure Act)?

Focused on eliminating various unethical, illegal, and undemocratic union practices

What were the Knights of Labor?

An important early union that expanded its goals and its membership to include workers in numerous fields rather than a single industry

What is the definition of labor union?

Legally constituted group of individuals working together to achieve shared, job-related goals, including higher pay and shorter working hours

What is the definition of picketing?

When workers representing the union march at the entrance to the employer's facility with signs explaining their reasons for striking

What is the definition of labor relations?

Process of dealing with employees who are represented by a union

What is the definition of shop steward?

An elected position in a local union, who is a regular employee who functions as a liaison between union members and supervisors

What is the definition of a slowdown?

It occurs when workers perform their jobs at a much slower pace than normal

What is the definition of a wildcat strike?

It occurs when workers suddenly go on strike, without the authorization (presumably) of the striker's union and while a binding labor agreement is still in effect

What is the definition of permissive items?

May be included in collective bargaining if both parties agree

What happens in mediation?

Neutral third party called the mediator listens to and reviews the information presented by both sides and then makes an informed recommendation and provides advice to both parties about what she or he believes should be done

What is the definition of collective bargaining?

Process by which managers and union leaders negotiate acceptable terms and conditions of employment for those workers represented by the unions

What is the definition of a closed shop?

Refers to a workplace in which only workers who are already union members may be hired by the employer

What is the definition of an impasse?

Situation in which one or both parties believe that reaching an agreement is not imminent

What is the definition of a final-offer arbitration?

When the parties bargain until impasse and then the two parties' final offers are submitted to the arbitrator

What is the definition of a union shop agreement?

It includes various types of union security agreements in addition to a requirement that a nonunion member can be hired, although he or she must join the union within a specified time to keep his or her job

What is the definition of a lockout?

When an employer denies employees access to the workplace

What is the definition of a strike?

It occurs when employees walk off their jobs and refuse to work

What are the key issues with labor unions in the twenty-first century? (3)

1) "Replacement" sources of labor (ex. overseas labor markets are only one source of this) 2) Contingent workers (another source of "replacement labor") 3) Unions and the electronic age (work can be done by fewer employees because of computers and new technology)

What are the two less extreme tactics that unions sometimes use? (2)

1) Boycotts 2) Slowdowns

What was the American Federation of Labor (AF of L)? (2)

1) Early union 2) Focused on its efforts on improved working conditions and better employment contracts rather than getting involved in legislative and political activities

What was the Congress of Industrial Organizations (CIO)? (2)

1) Early union 2) Focused on organizing employees by industry, regardless of their craft, skills, or occupation

What are the steps employees use to form a union? (8)

1) Generate interest in union among employees 2) Collect signed authorization cards- if less than 30% of bargaining unit members sign cards, the process ends* 3) Petition NLRB to hold election 4) Secret ballot election is held- if union is rejected by majority vote, the process ends* 5) Union signs up members and elects officers 6) Collective bargaining over first labor contract 7) Labor contract signed 8) Grievance procedure used to resolve disputes during the life of the contract

What are the barriers to effective negotiation? (3)

1) Lack of an overlap for the bargaining zones of the respective sides (i.e., there is a negative settlement zone)* 2) Long history of acrimonious relationships between management and labor 3) Inept negotiators and poor communication between negotiators

What are the tactics that may resolve an imprasse? (3)

1) Lockout 2) Mediation 3) Arbitration

What does collective bargaining involves what two sides? (2)

1) Management representing the employing organization 2) Labor union representing its employees

What are the two categories of items that may be dealt with during labor contract negotiations? (2)

1) Mandatory items 2) Permissive items

What are the three critical points of the organization's bargaining zone? (3)

1) Maximum limit 2) Expectation 3) Desired result on items being negotiated

True or False: Under certain conditions, an existing labor union can be decertified

True

In order for decertification of a labor union to occur, what two conditions must be met? (2)

1) No labor contract can currently be in force (that is, the previous agreement must have expired and a new one is awaiting approval) 2) Union must have served as the official bargaining agent for the employees for at least a year

What two groups does the negotiation process involve? (2)

1) Representatives from management 2) Labor union

What are the trends in unionization (subtopics)? (3)

1) Union membership 2) Union-management relations 3) Bargaining perspectives

What are the three critical points of the labor union's bargaining zone? (3)

1) Union's minimum acceptable limit on what it will take from management (the union resistance point may be the settlement level below which the union will strike) 2) Its own expectations about what management is likely to agree to 3) The most it can reasonably expect to get from management (the union target point)

What is the definition of mandatory items? (2)

1) Wages, working hours, and benefits 2) Must be included as part of collective bargaining if either party expresses a desire to negotiate one or more of them

What was the Labor Management Relations Act (or Taft-Hartley Act) (1947)? (2)

1) Was a response to public outcries against a wide variety of strikes in the years after World War II 2) Basic purpose was to curtail and limit union practices

What was the National Labor Relations Board (NLRB)?

Administers most labor law in the United States

What was the National Labor Relations Act (or Wagner Act)?

Administers most labor law in the United States (passed in 1935)

What happens in arbitration?

Both sides agree in advance that they will accept the recommendations made by an independent third-party arbitrator

What is the definition of a boycott?

It occurs when union members agree not to buy the products of a targeted employer

Why do employees choose to join labor unions?

They believe they will somehow be better off as a result of joining a union (if they are dissatisfied with some aspect of their job)

What is the goal of the collective bargaining process?

To produce agreement on a binding labor contract that will define various dimensions of the employment relationship for a specified period of time

What are craft unions?

Union that limited itself to representing groups of workers who performed common and specific skilled jobs

What is the definition of locals?

Unions organized at the level of a single company, plant, or small geographic region