human resources chapter 11 part 2

Employees are not locked out, but effect is same. Operate firm by placing management and nonunion workers in striking workers' jobs. Very effective where some employees do not want to strike and cross the picket line (i.e., scabs).

Type of industry involved has considerable effect on impact of this maneuver. May live in plant and have food and other necessities delivered to them.

recognition

Appears at the beginning of labor agreement. Identifies union that is recognized as bargaining representative. Describes bargaining unit. Management rights - Section that is often (but not always) written into labor agreement that spells out rights of management

managements willingness to take a strike

Can the company remain profitable over the long run if it agrees to the union's demands? Can the company continue to operate in the short run despite a strike?

negotiations

Begins with each side presenting initial demands. Requires give and take. Each side does not expect to obtain all demands presented

union security

Checkoff Provision - Company agrees to withhold union dues. Type of shop: Closed Shop - Only union members. Union Shop - Employees must become members. Agency Shop - Nonunion members pay dues. Open shop - Equal terms for union members and nonmembers.

work rules

Company work rules, work standards, and rules related to safety. This section of the agreement varies considerably, depending on the nature of the industry and the end product

initial agreement between bargaining representatives

Document that emerges from collective bargaining process is a "labor agreement" or "contract." Regulates relationship between employer and employees. Essential but difficult task.

Bargaining Issues

Document that results from collective bargaining process is a labor agreement or contract: Recognition and Management rights. Union security. Compensation and benefits. Terms of employment. Grievance procedure (covered later).

Grievance procedure

Employee presents grievance to steward and company rep who try to settle on the spot. If not settled, the dispute is taken up by the top representatives of the union and the company. Failing this, arbitration is the final step in most cases.

grievance

Employee's dissatisfaction or feeling of personal injustice relating to his or her employment. The employee feels he/she was mistreated according to the terms of the agreement, i.e., that the company violated the terms and conditions of the agreement

union members refuse to use or buy firms products

Example: Coors. Effect often lasts much longer than strike. Shoppers change buying habits.

Arbitration

Impartial third party makes binding decision to settle dispute: Usually used when union-management disagree regarding whether or not the contract was followed (e.g., employee feels he/she was mistreated, files a grievance, and the two sides cannot settle it). Arbitrators have formal authority to hear a case and rule on it with the verdict biding to both parties (e.g., acts like a judge).

administration of agreement

Larger and perhaps more important part of collective bargaining. Seldom viewed by public. Agreement establishes union-management relationship for duration of contract. Union-Management typically meet periodically to review and resolve major issues. Usually at a nice, neutral location (e.g. resort in Florida during the winter). At local level, representatives meet as needed to discuss/resolve grievances.

senority

Length of time employee has been associated with a company, division, department, or job. Used to determine work assignments, shifts, etc. When there are more/less desirable jobs, access to them is based on seniority (e.g., airline pilots bid on flights).

public awareness campaign

Maneuvers that do not coincide with strike or organizing a campaign to pressure employer: initiating proxy challenges. writing letters to the editors of newspapers. filing charges with agencies such as OSHA, the DOL, and the NLRB. Alternative to strikes because more employers are willing to replace striking workers. Employers have less recourse.

Maintenance of Membership

Must continue membership until termination of agreement.

Mediation:

Neutral party comes in when impasse is reached: Usually brought in to help two sides reach a contractual agreement , i.e., avoid a work stoppage. Mediators have no formal authority and cannot force either side to do anything (e.g., acts like a marriage counselor). Sources of mediators and arbitrators: FMCS and AAA.

factors that impact ability to take a strike

Product demand. Product perishability. Technology. Availability of replacement workers. Multiple production sites and staggered contracts. Integrated facilities. Competitor product sources.

document that results from collective bargaining process is a labor agreement or contract

Recognition and Management rights. Union security. Compensation and benefits. Terms of employment. Grievance procedure (covered later).

Union Tactics

Represent strategically critical jobs. Importance of jobs held by union members significantly affects union negotiating power (e.g., airline pilots). Few strategically located union members may exert disproportionate amount of power. Truckers or dock workers can affect entire country. Put pressure on end user of company's product. Strike against four Johnson Controls factories that make interior parts for some of country's best-selling vehicles. GM and Chrysler played active behind-the-scenes role by pressuring JCI to settle dispute.

collective bargaining

The process of negotiation between union representatives and representatives of management to agree on a collective bargaining agreement or contract.

preparation for negotiating agreement

Union gathers information regarding membership needs to isolate areas of dissatisfaction: Union steward is normally in best position to collect such data. Reviews other contracts in industry/area. Management gathers information regarding needed changes in work rules, costs, etc.: Salary surveys of prevailing wages. Reviews other contracts in industry/area. What has worked/not worked in other company locations or facilities.

flooding the community

Union inundates communities with organizers to target particular business. Unions typically choose companies in which nonunionized employees have asked for help in organizing. Target weak managers' departments.

Strikes

Union members refuse to work to pressure management in negotiations. Strikes halt production, resulting in lost customers and revenue for company and lost pay/benefits for the employee. Fewer strikes today. Timing is important. Unions prefer to strike only as last resort.

secondary boycott

Union practice to encourage third parties to stop doing business with company: Practice is illegal.

BREAKDOWNS IN NEGOTIATIONS

Union strategies for overcoming breakdowns. Management strategies for overcoming breakdowns. Third party intervention.

Political arm of AFL-CIO is Committee on Political Education (COPE). Recommends and assists candidates who will best serve its interests. With friends in government, union in stronger position. Unions give money to candidates who pledge to help pass pro-labor legislation.

Unions are historically pro-Democrat: Appointees to NLRB, and subsequent flavor of rulings, is heavily influenced by who is in office.

Ratifying the Agreement:

Until approved by majority of union members, proposed agreement not final. May be more difficult for union; sometimes the deal is rejected and negotiations begin anew (approval process for management is easier).

Compensation and Benefits

Wage rate schedule. Overtime and premium pay. Jury pay. Layoff or severance pay. Holidays. Vacation. Family care.

union salting

is the process of training union organizers to apply for jobs at company. Once hired, work to unionize. Supreme Court has ruled employers cannot discriminate against union salts.

right to work states

make mandatory union membership illegal

lockout

management keeps employees out Operate by placing management and nonunion workers in striking workers' jobs. Effective when: Management dealing with weak union. Union treasury is depleted. Business has excessive inventories. Type of industry involved has considerable effect on impact of this maneuver

The NLRA specifies that both the employer and representatives of employees

meet at reasonable times to confer in good faith with respect to wages, hours, and other terms related to conditions of employment, or to negotiate an agreement.