Finance Ch. 42

collective bargaining process (parties to a union contract)

NLRB orders union and management to bargain in good faith; parties must: 1. meet at reasonable times and confer in good faith 2. sign a written agreement if one is reached 3. when terminating/modifying existing contract, give 60 days notice to the other party with offer to confer over proposals; 30 days notice to federal or state mediation services while pending dispute 4. neither strike nor engage in a lockout during the 60 day notice

implied covenant of good faith and fair dealing exception

assumes that every employment contract contains an implicit understanding that the parties will deal fairly with one another *exception to the employment-at-will doctrine* - least common

The Consolidated Omnibus Budget Reconciliation (COBRA)

ensures that employees that lose their jobs or have their hours reduced to a level at which they are no longer eligible to receive health benefits can continue receiving benefits under the employer's policy maintains coverage up to 18 months; 29 months if disabled benefits not applicable if: 1. the employee is fired for gross misconduct 2. the employer decides to eliminate benefits for all current employees

Employee Retirement Income Security Act (ERISA)

a federal law that sets minimum standards for most voluntarily established pension and health plans in private industry to provide protection for individuals in these plans employers must provide participants with: 1. plan info 2. assurances that those in charge of managing plan assets have fiduciary responsibility 3. a grievance and appeals process for participants to get benefits from their plans 4. the right to sue for benefits and breaches of fiduciary duty

National Labor Relations Board (NLRB)

administrative agency created by the Wagner Act to interpret and enforce the National Labor Relations Act (NLRA) primary functions: 1. monitor the conduct of the employer and the union during an election to determine whether workers want to be represented by a union 2. prevent and remedy unfair labor practices by employers or unions 3. establish rules interpreting the act

Taft-Hartley Act

aka Labor-Management Relations Act designed to curtail some of the powers the unions had acquired under the Wagner Act (amended it)

Electronic Communications Privacy Act (ECPA)

amended Omnibus Crime Control Act employees' privacy rights extended to electronic forms of communication outlaws the intentional interception of electronic communications and intentional disclosure or use of the information so obtained

Family and Medical Leave Act (FMLA)

federal act requiring employers to provide all eligible employees up to *12 weeks of unpaid leave with health benefits* during any 12-month period for family related occurrences: - birth/adoption of a child - foster child placed in employee's care - care of a seriously ill spouse, parent, child - health condition that prevents employee from performing essential functions of job employees must give 30 days notice for *foreseeable* needs and as soon as practicable for *unforeseeable* leave

strike

temporary, concerted withdrawal of labor; most powerful weapon employees use to secure recognition and improve their working conditions

exceptions to the employment-at-will doctrine (3)

1. implied-contract exception 2. public-policy exception 3. implied covenant of good faith and fair dealing exception

boycott

a refusal to deal with, purchase goods from, or work for a business

primary boycotts

boycott against an employer with whom the union is directly engaged in a labor dispute (lawful)

Fair Labor Standards Act (FLSA)

federal law which requires that a *minimum wage* of a specified amount be paid to all employees mandates that employees who work 40+ hours be paid no less than *1.5 times* their regular wage for all hours beyond 40 *categories of excluded employees:* 1. executives 2. administrative employees 3. professional employees 4. outside salespersons

Omnibus Crime Control and Safe Streets Act of 1968

federal statute that prohibits employers from listening to the *private telephone conversations* of employees or disclosing the contents of these conversations (they may ban personal calls and monitor for compliance, as long as they discontinue listening to any conversation once they determine it is personal)

Wagner Act

first major piece of federal legislation adopted explicitly to encourage the formation of labor unions and provide for collective bargaining between employers and unions as a means of obtaining the peaceful settlement of labor disputes

Landrum-Griffin Act

governs the internal operations of labor unions requires financial disclosures by unions and establishes civil and criminal penalties for financial abuses by union officials

premises rule

if an employee is on company property, the courts generally find that she was on the job

signal picketing

prevents deliveries or services to the employer; illegal

public policy exception

prohibits employers from firing employees engaged in activities that further the public interest *exception to the employment-at-will doctrine*

employment-at-will doctrine

provides that a contract of employment for an indeterminate period of time may be terminated at will by either party, at any time, for any reason (besides gender and race)

secondary boycotts

when employees have a labor dispute with their employer and boycott another company to force it to cease doing business with the employer (illegal)

workers' compensation laws

*state law* that ensures that covered workers *injured* on the job can receive financial compensation without having to sue their employer to recover benefits, the injured party must demonstrate that: 1. they are an employee 2. both employer and employee are covered 3. the injury occurred on the job

Federal Unemployment Tax Act (FUTA)

created a state system where employers pay taxes to the states to provide *unemployment compensation* to qualified employees who lose their job

informational picketing

designed to truthfully inform the public of a labor dispute between an employer and the employees; lawful

Occupational Safety and Health Act (OSHA)

how the federal government regulates *workplace safety* enforced through inspections and the levying of fines against violators if willful violation results in death, criminal penalties may be imposed

implied-contract exception

provides that an implied employment contract may arise from statement the employer makes in an employment handbook or materials advertising the position can arise if: 1. the employment handbook contains the steps for progressive discipline leading to discharge 2. the handbooks makes no mention of the words "employment at will" 3. the employee relies on that handbook *exception to the employment-at-will doctrine* - most common

collective bargaining

the process whereby workers organize collectively and bargain with employers regarding the conditions of employment