Employee and Labor Relations

Closed Shop

Organizations can employ only union members. It was made illegal by Congress in 1947, but there are some industry exceptions.

Right-to-Work Laws

State laws that make all forms of union security illegal.

Impasse

When an agreement cannot be decided. • Sometimes this can be resolved through a third party—a disinterested person such as a mediator or arbitrator. • If it is not resolved: • The union may call a work stoppage, or strike, to put pressure on management. • Management may lock out employees.

Wildcat Strikes

non-sanctioned strikes during the terms of an existing contract. Wildcat strikers are not legally protected and therefore can be terminated by the employer.

The National Labor Relations (Wagner) Act of 1935

(1) Banned certain unfair labor practices for employers: a) Illegal for employers to interfere with, restrain, or coerce employees in exercising their legally sanctioned right of self-organization. b) Illegal for company representatives to dominate or interfere with either the formation or the administration of labor unions. c) Companies are prohibited from discriminating in any way against employees for their legal union activities. d) Employers are forbidden to discharge or discriminate against employees simply because the latter file unfair practice charges against the company. e) It is unfair for employers to refuse to bargain collectively with their employees' duly chose representatives. (2) Created secret-ballot elections and majority rule for determining whether a firm's employees were to unionize. (3) Created the National Labor Relations Board (NLRB) to conduct union representation elections and investigating and addressing unfair labor practice charges.

Landrum-Griffin Act (the Labor Management Reporting and Disclosure Act) of 1959

(1) Created a bill of rights for union members • Freedom of speech of union members • Protects a member's right to sue his or her union • Ensures that no member can be fined or suspended without due process (2) Laid out rules regarding union internal affairs • Regulated union election cycles and who can serve as a union officers • Expanded list of corrupt union and employer practice • Required unions to make financial reports to DOL.

The Norris-LaGuardia Act (1932)

(1) Stated that employees should have the right to bargain collectively free from interference, restraint, or coercion; but it did little to restrain employers from fighting labor organizations. (2) It limited the courts' abilities to issue injunctions (stop orders) for activities such as peaceful picketing and payment of strike benefits. (3) Prohibited "yellow-dog" contracts - promises by employees that they would not join a union.

Bargaining Stages

1. Presentation of initial demands: Both parties are usually quite far apart on some issues. 2. Reduction of demands: Each side trades off some of its demands to gain others. 3. Sub-committee studies: The parties form joint sub-committees to try to work out reasonable alternatives. 4. An informal settlement: Each group goes back to its sponsor. Union members vote to 15 ratify the agreement. 5. Signing the formal agreement.

Basic Guidelines for Contract Negotiation

1. Set clear objectives for each item on the bargaining table. 2. Do not rush. The process of negotiation can be a time consuming process. Do not get frustrated when it takes longer than expected. 3. When an answer is not clear, call a caucus with your negotiating team. 4. Be prepared with strong data to 21 support your position. 5. Have some flexibility in your position to make the negotiating process easier. Standing firm in your position may cause an impasse and negotiations will slow. 6. Go beyond what the other party wants and try to understand why the other side is asking for it. This gives you insight and allows you to potentially come up with a different solution that may meets the needs of both parties. 7. Allow the other party to save face. Do not back the other party into a corner where they may lose the respect of others or the group they are representing. 8. Try to be aware of the real intentions of the other party, not only their goals 21 but their priorities. 9. Listen well. 10. Create a reputation of being fair but firm. 11. Control your emotions. Do not panic. 12. Understand the big picture. Be aware of how each bargaining moves effects other bargaining issues. 13. Compare each move you make to your overall goals and objectives. 14. Be specific and pay close attention to the wording of each bargaining item. Unclear wording can lead to grievances. 15. Always remember that compromise is a big part of negotiations. If neither party compromises, negotiations will stall quickly. 21 16. Keep the future in mind. Be aware of how bargaining decisions now will affect future negotiations. 17. Be honest in your bargaining but do not be so forthcoming that you concede completely to the other parties demands.

Arbitration

A Fact finder: A neutral party who studies the issues in a dispute and makes a public recommendation for a reasonable settlement.

Mediation

A neutral third party (mediator) tries to assist the principals in reaching an agreement by holding meetings with each party to find common ground for further bargaining. Mediators are trained in negotiation tactics (covered later in this presentation). They bring both parties together an act as a go-between and make recommendations for a settlement or agreement that both parties accept or reject. The mediator has no authority to dictate terms or make concessions. The mediator communicates assessments of the likelihood of a strike, the possible settlement packages available, and the like.

Collective Bargaining

After employees choose a union as a bargaining representative, the employer and union are required to meet at reasonable times to bargain in good faith about wages, hours, vacation time, insurance, safety practices and other mandatory subjects. Some managerial decisions such as subcontracting, relocation and other operational changes may not be mandatory subjects of bargaining, but the employer must bargain about the decision's effects on unit employees. It is an unfair labor practice for either party to refuse to bargain collectively with the other, but parties are not compelled to reach agreement or make concessions (NLRB).

Alternative Dispute Resolution (ADR)

All methods of resolution that do not involve litigation. Mediation and arbitration are the most common methods of ADR, but it also includes evaluations by a neutral third party and negotiation tactics.

Binding Arbitration

An arbitrator often has the power to determine and dictate the settlement terms. Arbitration can guarantee a solution to an impasse.

Maintenance of Membership Arrangements

Employees do not have to belong to the union, but those who are in the union must remain members until the current contract expires.

Agency Shop

Employees in the bargaining unit can make their own choices about whether to join the union, but they must still pay a dues equivalent as a service fee to the union. This is based on the assumption that these employees still receive the benefits of being under the union contract.

Good Faith

In collective bargaining, it means that both parties communicate and negotiate, that proposals are matched with counterproposals, and that both parties make every reasonable effort to arrive at an agreement.

Phase 1 of Union Drive and Election

Initial contact - The initiative to unionize may come from the employees, from a union already representing other employees in the organization, or from a union representing workers elsewhere. The union determines the employees' interest in organizing, and an organizing committee may be established. The union representative identifies employees who would make a good organizing committee, and educates them on the benefits of forming a union, the law and procedures involved in forming a local union, and the issues management is likely to raise during a campaign. The union must follow certain rules when it starts contacting employees. 1. Labor relations consultants are outside advisors (e.g. law firms, researchers, psychologists, labor relations specialists, or public relations firms) used by both management and unions to provide assistance and advice in winning elections. 2. Union salting is an organizing tactic by which a full-time undercover union organizer is hired by unwitting employers. A U.S. Supreme Court decision held the tactic to be legal.

Mandatory Bargaining Items

Items that a party must bargain over if they are introduced by the other party (e.g. pay, working hours, overtime, layoffs, sick/vacation leave, union security)

Ilegal Bargaining Items

Items that are illegal to bargain with (e.g. closed shop union security, discriminatory treatment).

Permissible Bargaining Items

Items that are neither illegal nor mandatory— neither party can be compelled against its wishes to negotiate over those items (e.g. use of the union label, retiree benefits, scope of bargaining unit).

Phase 2 of Union Drive and Election

Obtaining authorization cards - 1) Thirty percent of the eligible employees in an appropriate bargaining unit must sign authorization cards stating they are interested in joining a union before the union can petition the NLRB for an election. 2) This phase also includes both sides distributing literature and communicating with employees about their options. However, neither side can coerce or bribe employees and employers cannot promise benefits to employees or make changes in the terms and conditions of employment that were not already planned before union organizing began. Note: many companies are unaware a union is attempting to organize its employees; consequently, campaigning by the employer may not begin until the NLRB sets an election date. 3) Companies can, however, defend themselves and point out the cost of being a union member, that a union cannot guarantee any particular benefit or outcome, and remind them of the positive aspects of working for the company.

Union Shop

Organizations can hire non-union people, but employees are required to join the union after a set period of time and pay dues. Employees can be fired for failing to comply.

Supervisor's Role in Unionization

Supervisors are the first line of defense again unions. Supervisors need some special training to help them because they can discover the early signs of union activity or they can inadvertently take actions that hurt their employers' union-related efforts. Supervisors must be knowledgeable about what they can and cannot do to legally hamper organizing activities.

Phase 4 of Union Drive and Election

The campaign- During this stage, the union and the employer appeal to employees for their votes, but neither side can coerce or bribe employees. No "TIPS".

Negotiation Process: Intra-organizational Bargaining

The consensus building and negotiations that go on between members of the same party. One cannot discount the fact that both parties represent multiple stakeholders and that there may be conflicting opinions among individuals in the same party. This in-fighting can make effective negotiations difficult. (within party consensus)

Phase 5 of the Union Drive and Election

The election- The election is held by secret ballot within 30 to 60 days after the NLRB issues its "Decision and Direction of Election" verdict. The NLRB provides the ballots, voting booth and ballot box, counts the votes and certifies the results of the election. The union becomes the employees' representative if it wins the election by a majority of the votes cast. A tie vote equals a win for the company.

Negotiation Process: Attitudinal Structuring

The relationship between labor and management negotiators. What is the level of trust and respect between the parties? If the relationship is poor, reaching a solution will be difficult. Developing a long-term relationship built on mutual respect is very important. (Quality of relationship)

Phase 3 of Union Drive and Election

Two things can occur once the union collects the authorization cards: 1) The organization consents to an election. Both parties sign an agreement to waive the hearing and consent to an election. 2) The organization can contest the union's right to an election. An employer can insist on an NLRB hearing to determine if employees wish to elect a union to represent them. An employer's decision about whether to insist on a hearing is a strategic one based on the facts of each case and whether it feels it needs additional time to develop a campaign to try to persuade a majority of its employees not to elect a union to represent them.

What NOT to do: Union Avoidance

Watch what you say. Reacting emotionally is never a good idea. • Never threaten workers. Do not: • Interrogate, transfer, terminate or discipline workers for engaging in union activities. • Ask workers to remove union screensavers or campaign buttons if you allow these things for other organizations. • Treat pro-union or anti-union workers any differently. • Ask employees about union meetings or any matters related to unions. You can listen, but don't ask for any details. • Promise workers benefits, promotions or anything else if they vote against the union. • Avoid becoming involved in the details of the union's election or campaign and don't participate in any petition movement against the union. Any one of these practices may result in a finding of "unfair labor practices," which may result in recognition of a union without an election, and fines for the organization.

The Taft-Hartley Act (1947)

amended the Wagner Act with provisions aimed at limiting unions in four ways: 1. Unfair union labor practices: • To restrain or coerce employees from exercising their guaranteed rights, including the right to refrain from concerted acivities. • To cause an employer to discriminate against employees in order to encourage or discourage their membership in a union. • To refuse to bargain in good faith with the employer about wages, hours and other employment conditions. • Certain strikes and boycotts are also unfair practices. • To engage in "featherbedding" (requiring an employer to pay an employee for services not performed). 2. Defined the rights of employees: The Taft-Hartley Act protects employees from their unions; makes it impermissible to force people to join a union. (Closed shop) 3. Defined the rights of employers: • Rights: To express their views concerning union organization. To set forth the union's record concerning violence and corruption, if appropriate. • Restraints: Must avoid threats, promises, coercion and direct interference with workers who are trying to reach an organizing decision. Cannot suggest to employees that they vote against the union (in private, while they are out of their work area). 4. Intervention of national emergency strikes: Allows the U.S. president to intervene in national emergency strikes. The president may appoint a board of inquiry and, based on its report, apply for an injunction restraining the strike for 60 days. If the parties don't reach a settlement during that time, the president can have the injunction extended for another 20 days, during which time employees take a secret ballot to ascertain their willingness to accept the employer's last offer.

5 types of union security

closed shop, union shop, agency shop, maintenance of membership, and right to work laws*

Sympathy Strikes

occur when one union strikes in support of another union. For example, if flight attendants went on an economic strike, the pilots' union may strike as well to increase the pressure on the organization to come to an agreement with the flight attendants' union. These may be prohibited in a Collective Bargaining Agreement (CBA).

Economic Strike

occur when there the organization and the union reach an impasse during negotiations.

Unfair Labor Practice Strike

occurs when the union protests illegal activity on the part of the organization (e.g., refusal to bargain).

Negotiation Process: Distributive Bargaining

when parties attempt to divide a fixed economic pie into two parts. When one party gains, the other loses. (win-lose situation)

Negotiation Process: Integrative Bargaining

win-win focus; it focuses on collaboration to seek solutions beneficial to both sides. For example, finding a way to reduce labor costs so employees can keep their jobs while increasing employee productivity.

NLRB Hearing Officer's Duties

• Determining if the records support that there is enough evidence to hold an election. • Determining if 30 percent of the employees in bargaining unit signed the authorization cards. • Determining what the bargaining unit will be.