ILRLR 2050 Prelim: Short Response Terms

Laboratory condition doctrine

"General shoe" doctrine The NLRB uses to evaluate election conduct If campaigning or conduct causes employees to vote differently from their preference, a new election will be held

Representation election employer neutrality

"Neither helping nor hindering" union efforts

Integrative bargaining

"Variable sum bargaining" "Win-win bargaining" The system of activities that is instrumental to the attainment of objects that are not in fundamental conflict with those of another party

Distributive bargaining

"Zero-sum bargaining" When one party's goals are in direct conflict with those of the other party Leads to conflict

Surface bargaining

"shadow boxing"; occurs when a representative lacks authority

Strategy

(The art of directing [military] movements so as to secure the most advantageous positions and combination of forces) The unique positioning of the organization as a function of the external environment and the internal resources Involves an inherent tradeoff among multiple strategic options Guides and shapes organizational actions and decisions

Main arguments of Change-to-Win unions

(coalitions that left the AFL-CIO for these reasons and leadership conflict) Growing strength Service sector unions - janitors, hotels 1. Need to put more resources into organizing 2. Need to consolidate smaller unions into larger ones 3. Need for new leadership of union movement

Behavioral sources of strikes

- Consistent with Hicks model Strikes emerge from parties perceptions, goals, and frustrations Strike rates are higher in industries that are not integrated into the community 1. Workers with own subculture 2. Workers distant from population centers 3. Workers whose work involves harsh physical labor

NLRB representation elections

- Supervised and monitored by NLRB officials - Usually held at worksite - Mail ballots allow in special circumstances - Each worker allowed one secret ballot - Typically held within eight weeks after a petition is filed

Marshall's Four Basic Conditions

- Unions have more power when demand for labor is inelastic 1. When labor cannot be easily replaced in the production process by other workers or machines. 2. When demand for the final product is price inelastic. 3. When the supply of non-labor factors of production in elastic (How easy it is to produce more of the non-labor factor to meet increased demand) 4. When the ratio of labor costs to total costs is small. (The importance of being unimportant)

Determinants of management's strike leverage

- the more an employer is willing and able to sustain a strike, the more likely the workforce will be to settle a strike before attaining all the union's goals. 1. PRODUCTION - Essentiality of striking workers on production (availability of substitute workers) 2. SALES - availability of inventory for sales (inventories/other production sites) 3. PROFTS - effects on profits (effects of the strike on competitors/capital and continuing costs)

Union relative power is effected by?

1. Ability and willingness to strike (strike level) 2. Elasticity of demand of labor

Employer's relative power is influenced by

1. Ability to withstand a strike

2 facts about strikes

1. Approximately two-thirds of all strikes concern negotiations for a new contract 2. Strikes now occur in about 5% of all negotiations

What factors drive union growth?

1. Cyclical factor 2. Structural factor 3. Laws and public policy

Balancing efficiency, equity, and voice framework

1. Efficiency: productive use of scarce resources for economic prosperity - i.e. profitability, productivity, competitiveness, etc. 2. Equity: the provision of fair labor standards for both material outcomes and personal treatment - i.e. living wages, workplace safety, non-discrimination, etc. 3. Voice: the ability of employees to have meaningful input into workplace decisions - i.e. consultation, labor unions, free speech, etc. 4. The 3 often clash. (Equitable treatment may reduce flexibility and efficiency, employee voice may may decision making less efficient, etc.) 5. Labor relations must strike a balance between these conflicting goals.

Employee empowerment unionism

1. Focus on creating procedures for empowerment 2. Skills are important 3. Equity through fair processes 4. Voice through empowerment

Job control unionism

1. Focus on specific job rights 2. Seniority and job classification are important 3. Equity through standardization and equal treatment 4. Voice through union representation Representative of industrial unionism

Hicks: Some sources of miscalculation

1. Imperfect information 2. Uncertainty 3. Asymmetric or private information 4. Unrealistic expectations

Industrial relations systems framework

1. Industrial relations should be viewed as a subsystem - there are 3 actors: the state, ees & their representatives, and ers & their representatives. 2. These actors are linked and dependent on one another - these dependencies are organized by a workplace "web of rules". The critical issue in any IR system is which actor or actors write and enforce the rules. 3. The "web of rules" is a product of: the economic context, the technological context, the locus of power in larger society, and the role of ideology. (plus, the demographic context and the social context)

4 Critical assumptions at the heart of the industrial relations paradigm?

1. Labor is more than a commodity. (Some acquired skills are of unique value to the er; skills may not be easily marketable; not always easy to change jobs; ees are more than the sum of their relevant human capital.) 2. Conflict between ers/ees is inherent in the workplace. 3. "Mixed-motive" nature of employment relationship (Unions and ers have both common & conflicting goals and interests. ) 4. Industrial relations is concerned with multiple interests: Ers, ees, unions, and the public.

4 Responsibilities of the Negotiator

1. Obtain the best deal; the biggest share of the pie (distributive bargaining) 2. Seek all the mutual gains available; make sure the pie is as large as it possibly can be (integrative bargaining) 3. Help manage the relationship between the parties (attitudinal structuring) 4. Help manage the relationship between the negotiating team and its consistent (intraorganizational bargaining)

Some principles parties use to help them reach agreement

1. Precedent and pattern 2. Reciprocal concessions 3. Equity and effort; appeals to fairness 4. "Needs" 5. "Split the difference" rule

Implications of the Hicks Model of Strikes

1. Strikes appear to be unnecessarily wasteful because if the expected settlement had been reached without a strike, or with a shorter strike, both parties would have been spared some losses. 2. Any factors that strengthen or weaken employer or union resistance will affect strike duration/wage settlement

Social unionism

1. Strong community networks 2. Workplace, social, and political action 3. Critical of status quo 4. Equity through social justice 5. Voice through political and social movement Part of organizing model 1. Mobilize workers for empowerment and action 2. Workers participate in union and workplace activities including organizing

Business unionism

1. Strong workplace unions 2. Collective bargaining is key 3. Acceptance of capitalist institutions 4. Equity through workplace union protection 5. Voice through workplace union representation Part of Servicing Model 1. Pay dues in return for protection through CB and grievance procedures 2. Workers consume union services

Explanations for union growth/decline #1

1. Structural changes in the economy and the labor force Shift from manufacturing to white collar/service sector jobs Shift from jobs in Northeast and Midwest to South/Southwest (40% of decline in membership)

Bargaining unit issues

1. Union & employer each want the unit defined to maximize their position I.e. Unions fair better in smaller, homogenous skill groups 2. The defined bargaining group may not longer have 30% employee interest

Why would an employer voluntarily recognize?

1. Union pressure (i.e. from a corporate campaign) 2. Union can offer some trade-off for neutrality or card check recognition 3. To promote better labor-management relations with the union

Arguments of labor for banning permanent strike replacements

1. Workers are essentially fired for striking, so other workers are afraid to strike 2. Destruction of the right to strike is asserted to disrupt the balance of the U.S. labor relations system and give employers vastly greater power

Possible management attitude towards unions

1.Acceptance 2. Avoidance 3. Encouragement

Explanations for union growth/decline #2

2. Union avoidance through employer election campaign practices Strong employer resistance to organizing Legal & illegal employer tactics - employer election propoganda v. firing workers

Three levels of industrial relations activity (OUR MODEL)

3 Levels 1. Strategic: Involves strategies and structures that guide the long-term direction of industrial relations; Management: committed to working with the union, or seeking non-union alternatives?; Labor: is leadership adversarial or flexible? 2. Functional: The process of contract negotiations takes place here & terms and condition of the labor agreement are established; In the middle tier we find: union organizing & bargaining structure, the negotiations process, impasse resolution, bargaining outcomes 3. Workplace: the daily union/employer interaction and contract administration; Involves issues such as: management of conflict, delivery of due process, motivation, participation, supervision of workers, and the structuring of jobs; Administration of the bargaining agreement is an important part of this tier 4. All tiers are influenced by the external environment (economic - unemployment, foreign competition, political/legal - which party is in power? legal system?, technological - (assembly line, transportation, computers, etc.), social/demographic - workforce composition, immigrations)

Explanation for union growth/decline #3

3. Employer substitution through personnel practices HR departments; substitution tactics (Google explanation to Walmart world?)

Behavioral Theory of Negotiations

4 subprocesses of bargaining within the negotiation of any CBA 1. Distributive 2. Integrative 3. Intraorganizational 4. Attitudinal structuring

Explanation for union growth/decline #4

4. Government substitution Stronger government regulation of workplace Stronger laws about safety and health, discrimination, and family and medical leave

Explanation for union/growth decline #5

5. American worker ideology American workers are inherently more individualistic and anti-union

Overall union success rate

50-60%

Explanation for union/growth decline #6

6. Internal union affairs and actions Union corruption Leadership stagnation/lack of new organizing efforts (Perspective suggests new union strategies could lead to revitalization)

Explanation for union growth/decline #7

7. Limitation of the standard organizing and representation model Labor law requires a vote of over 50% of workers before bargaining unit is recognized Membership is attached to workplace not individual (System a disadvantage to American unions in a dynamic economy where workers frequently change jobs and business turnover is also high)

AFL-CIO

A major federation of national unions in the US Promotes political objective of unions through political lobbying and dissemination of information to union members Has no formal authority in the bargaining efforts of its member national unions

Interest-based bargaining

An alternative to traditional negotiations Essentially an effort to apply integrative bargaining to negotiations Parties encourage to focus on interests, generate options, work together and share options, choose options that maximize interests

Pattern bargaining

An informal means to spread the terms of one formal agreement into another; an informal substitutes for centralized bargaining aimed at taking wages out of competition The greatest extent of pattern bargaining in the U.S. is the intraindustry variety 1. It stabilizes competition over wages 2. Examples are in auto, aerospace, and airlines Intraindustry bargaining has drawbacks 1. Overextension is likely to reduce employment opportunities, encourage new entrants, and reduce the ability of the union to take wages out of competition - which was the original purpose 2. In moderation, it reduces strikes and establishes norms of equity for workers

The Hicks (economic) Model of Strikes

Bargainers form an expectation of what they would eventually agree to if there were a strike If a strike occurs, both labor and management will have to absorb income losses - workers will forgo earnings during the strike and management will lose profits Cognizant of these income losses, the parties should be able to find a settlement that they prefer over the wage settlement after a strike (W) wage (S) [expected] strike length (EC upward sloping) employer concession schedule (UR downward sloping) union resistance curve (S0/W0 settlement)

Hicks: No contract zone

Because of miscalculation by one or both parties Work stoppage will occur

Other pressure tactics

Boycotts, work slow downs, corporate campaigns

Tactics of integrative bargaining

Brainstorming, using objective criteria Open exchange of information and airing multiple voices

Modern forms of unionism

Business unionism (servicing model) Social unionism (organizing model) Job control unionism (industrial unionism) Employee empowerment unionism (craft/occupational unionism)

Limitations on union access to employees

Can't meet with employees or distribute literature on company property or have employees discuss the union during work time

National unions

Center of political power within most trade unions in the US Actively involved in the negotiation of CBA Sanction and provide assistance to their member local unions

Participatory pattern of IR

Characterized by contingent compensation linking work group pay to economic performance May include team forms of organization, employment security programs, and more direct involvement by workers & unions in business decision making - Quality circle or team meetings, creates mechanisms for workers to directly solve production/personnel problems

New Deal pattern of IR

Characterized by highly detailed and formal contracts Stable labor relations!!! Includes grievance arbitration, seniority-based layoff procedures, detailed job classifications, and standardizations of pay

Bureaucratic pattern of IR

Characterized by highly formalized procedures on policies such as pay, leaves, promotion and discipline (Larger firms may find the diversity in personnel practices of paternalistic firms too unsettling and costly) Find it necessary to standardize and bureaucratize policies; realize that variation of policy can cause unionization if some employees feel disadvantaged

Phase 1 of Bargaining

Commencing Negotiations Ground rules, setting the agenda, establishing the "negotiation scope and range", opening positions, negotiation "triggers", ceremonials and rituals

Southwest Airlines

Cooperative with the workforce Key competitive advantage for service-oriented business Did not oppose unionization

Nontraditional union organizing tactics

Corporate campaigns: involve union efforts to bring public, financial, or political pressure to bear on top of management (J.P. Stevens national boycott) Voluntary recognition Rank and File

Traditional forms of unionism

Craft/occupational - represents workers in a single occupation in different workplaces; responsiveness to a homogenous occupation Industrial - represents all workers at a single workplace; bargaining power from controlling an entire workplace

Key legal standard for NLRB elections

Employee free choice

Strike

Employees refuse to work until an employer changes its position on one or more issues; Are expressions of protest and dissatisfaction; Used to increase the cost of disagreement so the employer will accept employees' demands

Striker replacements

Employees used or hired to do the work of individuals on strike Increase the duration of the strike, signal management's intent to bargain hard

Card check neutrality agreement / voluntary recognition

Employers can grant voluntary recognition (usually based on "card check" majority support for union)

Local unions

For most members, most extensive interaction is through the local union Can attend meetings and vote for local officers Initiate grievance processing and direct strike or picketing activities (If not linked to national union, negotiates CBA on its own)

8c

Free speech provision; campaigning by employees and unions is permitted

"Accretion" clause

GM / UAW - new plants opened that did work traditionally done by the UAW would automatically be included in the bargaining unit

Bargaining unit

Group of workers who vote in the election to determine union representation and will bargain a contract together.

Differentiation business strategy

HR strategy develops, rewards, and empowers employees to create a loyal, productive workforce 1. Equity and voice are important to management 2. May see employees as competitive advantage

Wage targets

Heart of the internal management planning process; recommended by negotiating team; must reflect top management's goals

Structural factor

Historical, Organizational and legal Influences Social change is a large factor, such as the great depression and wartime economy

Laws and public policy

I.e. right-to-work states v. states granting public employee unions the right to collective bargaining

Lockout

Initiated by the employer rather than the employees Defensive lockouts: occur when an employer locks out employees to prevent losses from an expected strike Offensive lockouts: occur when an employer takes the initiatives to pressure the union for a more favorable settlement - Hiring permanent replacements is not allowed

Clearest violations of laboratory conditions

Interfering with or coercing employees Establishing a company dominated sham union Discriminating against pro-union employees

Intraorganizational bargaining

Intraorganizational negotiations occur when there are different goals or preferences within either side (Unions - differences between senior "higher pensions" and junior "up-front wage increase" members)

The "high-tech paradox"

It's about how you use technology. Research findings that some of the highest tech factories are not generally the most productive. Evidence suggesting highest productivity comes from integrating new technologies with innovative employment practices

Picket line

Key aspect of strike Strikers, their leaders, and supporters march outside struck employer's locations to publicize their dispute Convince the public not to patronize the business and workers not to cross the picket line Create solidarity Build support for their cause

Conflict pattern of IR

Labor & management engage in struggle over basic rights Dispute over union representation Involved in long strikes, imposes high cost through low productivity

Excelsior list

List provided to unions once election is set of all union eligible employees with contact information

Tactics of distributive bargaining

Manipulating perceptions of positions, increasing costs of delay Demands overstated, information withheld, tough image projected

Theories of CB and Technological Change

Marx: new tech facilities the shift of control from labor to capital; labor organizes for ongoing battles with capital over control of the production process Commons: tech advances broaden the scope of markets, expanding product markets leads to CB as labor organizes to take wages out of competition Kerr, Dunlopp, Harbison and Myers: tech advances create a need for news rules about relations between ee/er, CB is a response to the need for rules to govern the modern, industrial workplace

Total power is influenced by

Microeconomic factors (degree of competition facing the employer) Macroeconomic factors overall state of the economy)

Alternative explanations for strikes

Mobilization theory (workers mobilized by other factors aside from wages)

Shop steward

Most important person the average worker Chosen through elections (as well as local officers) Most elected for 2 or 3 terms

Six patterns of industrial relations

Nonunion 1. Paternalistic 2. Bureaucratic 3. HRM Union 1. New Deal 2. Conflict 3. Participatory

HRM pattern of IR

Outgrowth of efforts to increase flexibility and cost Relies on formal policies, but policies that are different from the bureaucratic pattern - i.e. team forms of work, skill or knowledge based pay, elaborate communications and complaint procedures

Strategic model of IR patterns

Overall business strategy > IR/HR strategy (avoidance, acceptance, encouragement) > IR pattern

Paternalistic pattern of IR

Personnel policies tend to be informally administered and involve substantial discretion by operating managers. Common among small retail stores & small manufacturing plants, often family-owned firms who do not want to lose control; case-by-case basis; managers would exercise a high degree of discretion over discipline and pay policies; union avoidance is a KEY reason for paternalism

Pre-negotiation

Planning, developing a strategy, gathering and evaluating data, experience, records Defining your interests, the issues, tactics Consulting with superiors and constituents Setting "target" and "resistance" points - range of settlement

Voluntary (permissive) bargaining items

Plant closings, benefits for retirees, union representation on the board of directors, bargaining unit expansion

Position v. Interest

Position: "I want a 2% wage increase" Interest: Underlying need for that position "Ugly orange" example

Negotiation Stages

Pre-negotiation Phase 1: Commencing negotiations Phase 2: Reconnoitering the "Range of Settlement" Phase 3: Reaching (or Not Reaching) Agreement

Issues of integrative bargaining

Promise of joint gain, but any joint gain needs to be divided Prompts distributive bargaining

Phase 3 of Negotiations

Reaching (or not reaching) Agreement "Rule" of reciprocity, rationalizing concessions, assessing the costs of agreeing and the costs of disagreeing: the rational model, interactions with constituents, fear of "loss of face"; over-commitment, "agreement on any issue is tentative until there is agreement on all issues"

Phase 2

Reconnoitering the "Range of Settlement" Getting down to business, heavy tactical maneuvering (threats, promises, pleas, etc.), reassessing strength of positions, ASKING QUESTIONS, making concessions

Hicks: contract zone

Settlement will be reached

Strategy v. Tactics

Strategy - direction; overarching approach (type of bargaining) Tactics - motions

Structure v. Processes

Structure (centralized/decentralized) Process

Upskilling thesis

Technology empowers workers. Technology reduces hierarchy and raises skill levels & incomes

Deskilling thesis

Technology shifts power from frontline workers to managers. Technology facilitates hierarchy and replaces skills & reduces incomes

Justice for Janitors Campaign

The SEIU went outside the NLRB procedures to gain union representation.bThey try to organize on a multi-employer basis and avoid representation elections by inducing employers to voluntarily recognize the union. They put pressure on employers that use subcontractors for janitorial services. Also use alliances with community groups such as churches to gain public support for organizing

Attitudinal structuring

The degree of trust the sides feel toward each other

Election unit

The group of employees that the NLRB or state agency determines is eligible to vote; basis for the bargaining unit Two main decisions are made to define the unit: 1. Range of employees to be included 2. Who functions as the supervisor or manager

Cyclical factor

The state of the economy Union growth was directly correlated with prosperity Union membership rose and fell in sync with the business cycle Workers became more aggressive in pursuing their goals in good economic times, while employers became less resistant since profits were increasing

True or false: workers are less inclined to vote for a union if the election is delayed

True

Right-to-work states

Twenty-eight states have such laws, where it is illegal to require employees to join unions or pay union fees as a condition of employment

Bargaining leverage

Unions can increase their bargaining leverage by organizing a large share of the product market

"Rank-and-file" style

Unions that used young, well-educated organizers, involve extensive communication, and have links to community groups achieved above-average success

Cost leadership strategy

Uses and HR strategy that minimizes labor costs 1. Labor is driven & treated as a commodity 2. Equity and voice are not important to management 3. Efficiency through high output and low cost is key 4. Management is largely autocratic

Mandatory bargaining items

Wage reductions/increases, seniority provisions, work schedules and vacations, grievance arbitration, just cause discipline procedures, bonus plans, health insurance payments, etc.

Coordinated bargaining

When no single union dominates a firm's employees

Whipsawing

When workers within an industry compete with each other to perform work cheaper

Temporary strike replacements

Workers who are discharged at the end of the strike

Permanent strike replacements

Workers who continue in their positions after the strike ends Strikers can be permanently replaced, but they cannot be fired (placed on a priority recall list)

Industrial relations (pluralist)

competition imperfect; power imbalanced; need institutions regulating markets; bargaining between labor-management. Unions = important: needed to counter corporate bargaining power and balance efficiency, equity, and voice in democratic, capitalist societies.

HR perspective on conflict

conflict results from poor HRM policies; is not a permanent feature of the employment relationship.

collective bargaining (lowercase c)

consists of the process of negotiation between representatives of a union and employers over the specific employment terms and conditions, such as wages, hours of work, working conditions and grievance procedures, as well as the rights and responsibilities of the union. The parties often refer to the result of this negotiation as a Collective Bargaining Agreement (CBA).

Neoclassical economics (egoist)

emphasizes unconstrained competitive labor markets; labor as a commodity, utility maximizing exchanges. Unions = bad: monopolies that benefit few at the expensive of everyone else.

The wage-employment trade-off (aka elasticity of demand for labor)

in some cases, unions are not willing to raise wages as much as they could do to the fact that higher wages often bring cuts in employment - it is larger when the demand for labor is more elastic

Strike leverage

is the relative degree to which workers and the employer are willing and able to sustain a strike - to measures strike leverage, we need to know what costs a strike would impose on each party (also, what alternative income sources are available to each party); determined by the ability and willingness of the workforce to stay on strike; alternative sources of income, strike benefits, and solidarity influence strike duration.

Collective Bargaining (capital C)

is the set of processes and structures that facilitate for workers to organize collectively, bargain with employers over workplace issues, and attain institutionalized input regarding certain organizational decisions. OR A set of processes and structures by which management's authority to unilaterally establish the terms and conditions of employment (workplace rules) is replaced by bilateral negotiations.

Managerialist/HRM (unitarist)

management key, not just the market; labor and management have common not opposing interests. Unions = unnecessary: effective management policies are best; unions add unproductive conflict.

Marxist (critical IR)

segmentation of society into dominant and subordinate groups; labor versus capital; fundamental conflicts. Unions = important, but inadequate: key for aiding labor's struggle against capitalist and protecting workers, but with systematic imbalances; needs sociopolitical change for true reform.

Unfair labor practice strikes

strikes in protest against an employer's unfair labor practices(s). (Private sector employees are protected by the NLRA. They cannot be disciplined or discharged or permanently replaced. But the NLRB must find that an ULP was committed.)

Sympathy strikes

strikes in support of other workers on strike. (Privates sector workers are maybe protected by the NLRA. A no-strike clause in a contract might be a waiver of protection if the clause clearly includes sympathy strikes. In this case, workers are not protected and can be disciplined or discharged. Otherwise, sympathy strikes are protected, but strikers can be replaced.)

Wildcat strikes

strikes over grievances while a contract is still in force (not during contract negotiations). (Private sector workers are occasionally protected by the NLRA. A no-strike clause in a contract usually waives protection, so workers can be disciplined or discharged. Otherwise, grievance strikes are protected, but strikers can be replaced.)

Noneconomic strikes

strikes over permissive bargaining items during contract negotiations. (Private sector workers are not protected by the NLRA. The NLRA only protects workers' efforts to improve their wages, hours, and other terms and conditions of employment.

Jurisdiction strikes

strikes over the assignment of work to bargaining unit employees. (Private sector workers are not protected by the NLRA. Jurisdiction strikes are prohibited by the NLRA)

Economic strikes

strikes over wages, benefits, and work rules (mandatory bargaining items) during contract negotiations. This is the classic form of strike in contemporary U.S. labor relations. (Private sector strikers are protected by the NLRA - they cannot be disciplined or discharged. But workers can be replaced with both permanent and temporary strike replacements.)

Recognition strikes

strikes to force an employer to recognize and bargain with a union. Occurred frequently in labor history, but the NLRA encourages the use of representation elections instead. (Private sector employees are protected by the NLRA - but they can only picket for 30 days. Workers are protected, but can be permanently replaced. Picketing for recognition is essentially limited to 30 days. After 30 days, can strike but not picket.)

Relative bargaining power

the leverage attained by each party separately; represents the ability of each side to secure a share of the "pie"; the ability of one party to achieve its goals in bargaining in the presence of opposition by another party to the process.

Total bargaining power

the power attained by the union and the employer as a whole; represents the size of the "pie" and the ability of the parties to increase it; concerns the total profits (or economic rents) that are available to labor and management; both labor & management prefer situations with greater total power

Critical IR perspective on conflict

there is inherent conflict over monetary issues and working conditions, but also overall unequal social and economic power relations (class conflict)