1. PowerPoint Presentation by Charlie Cook The University of West Alabama SECTION 5 Employee Relations © 2011 Cengage Learning. All rights reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible Web site, in whole or in part. CHAPTER 16 Union/Management Relations

2. © 2011 Cengage Learning. All rights reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible Web site, in whole or in part.16–2 Chapter Objectives Describe what a union is and explain why employees join and employers resist unions.Describe what a union is and explain why employees join and employers resist unions. Identify several reasons for the decline in union membership.Identify several reasons for the decline in union membership. Explain the nature of each of the major U.S. labor laws.Explain the nature of each of the major U.S. labor laws. Discuss the stages of the unionization process.Discuss the stages of the unionization process. Describe the typical collective bargaining process.Describe the typical collective bargaining process. Define grievance and identify the stages in a grievance procedure.Define grievance and identify the stages in a grievance procedure. After you have read this chapter, you should be able to:

3. © 2011 Cengage Learning. All rights reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible Web site, in whole or in part.16–3 Nature of Unions UnionUnion  A formal association of workers that promotes the interests of its members through collective action. Why Employees UnionizeWhy Employees Unionize  They are dissatisfied with how they are treated by their employers.  They believe that unions can improve their work situations.

4. © 2011 Cengage Learning. All rights reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible Web site, in whole or in part.16–4 FIGURE 16–1 Factors Leading to Employee Unionization

5. © 2011 Cengage Learning. All rights reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible Web site, in whole or in part.16–5 Nature of Unions (cont’d) Why Employers Resist UnionsWhy Employers Resist Unions  Unionization constrains what managers can and cannot do in a number of areas.  Unionization can result in higher wages and benefits.

6. © 2011 Cengage Learning. All rights reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible Web site, in whole or in part.16–6 FIGURE 16–2 Union Membership as a Percentage of the U.S. Civilian Workforce Source: U.S. Department of Labor, Bureau of Labor Statistics, 2010.

7. © 2011 Cengage Learning. All rights reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible Web site, in whole or in part.16–7 Unions Globally Union membership is falling in advanced countries.Union membership is falling in advanced countries.  High unemployment is creating pressure for change. In some countries, unions are closely tied to political parties.In some countries, unions are closely tied to political parties. Child labor is an issue in some countries.Child labor is an issue in some countries. Co-determinationCo-determination  A practice whereby union or worker representatives are given positions on a firm’s board of directors.

8. © 2011 Cengage Learning. All rights reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible Web site, in whole or in part.16–8 U.S. and Global Differences in Union-Management Relations Key Differences Focus on Economic Issues Organization by Job and Employer Collective Agreements as “Contracts” Competitive Relations

9. © 2011 Cengage Learning. All rights reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible Web site, in whole or in part.16–9 Reasons for U.S. Union Membership Decline Causes of Membership Decline Geographic Changes Industrial Changes Workforce Changes

10. © 2011 Cengage Learning. All rights reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible Web site, in whole or in part.16–10 FIGURE 16–3 Union Membership by Industry Source: U.S. Department of Labor, Bureau of Labor Statistics, 2010.

11. © 2011 Cengage Learning. All rights reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible Web site, in whole or in part.16–11 Union Targets for Membership Growth Focus of Union Organizing Health Care Professionals Low-Skill Workers and Immigrants Contingent and Part-Time Workers

12. © 2011 Cengage Learning. All rights reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible Web site, in whole or in part.16–12 Historical Evolution of U.S. Unions 1794Shoemakers’ strike1794Shoemakers’ strike 1806Shoemakers’ strike (“criminal conspiracy”)1806Shoemakers’ strike (“criminal conspiracy”) 1886American Federation of Labor (AFL)1886American Federation of Labor (AFL) 1938Congress of Industrial Organizations (CIO)1938Congress of Industrial Organizations (CIO) 1957AFL-CIO merger1957AFL-CIO merger 2005Change to Win Federation (CTWF)2005Change to Win Federation (CTWF)

13. © 2011 Cengage Learning. All rights reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible Web site, in whole or in part.16–13 Union Structure Craft UnionCraft Union  A union whose members do one type of work, often using specialized skills and training. Industrial UnionIndustrial Union  A union that includes many persons working in the same industry or company regardless of jobs held. FederationFederation  A group of autonomous national and international unions. National and International UnionsNational and International Unions  Groups of local union units

14. © 2011 Cengage Learning. All rights reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible Web site, in whole or in part.16–14 Union Structure (cont’d) Local UnionLocal Union  A union centered around either a particular employer or a particular geographic location. Business AgentBusiness Agent  A full-time union official who operates the union office and assists union members. Union StewartUnion Stewart  An employee elected by local members to serve as the first-line representative of unionized employees.

15. Quiz Set 1 © 2011 Cengage Learning. All rights reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible Web site, in whole or in part.16–15

16. © 2011 Cengage Learning. All rights reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible Web site, in whole or in part.16–16 U.S. Labor Laws 1926Railway Labor Act (RLA)1926Railway Labor Act (RLA) 1932Norris-LaGuardia Act1932Norris-LaGuardia Act 1935National Labor Relations Act (Wagner Act)1935National Labor Relations Act (Wagner Act)  Employee rights to organize  Employer unfair labor practices  National Labor Relations Board 1947Taft-Hartley Act1947Taft-Hartley Act  Union conduct  National emergency strikes  Right-to-work 1959Landrum-Griffin Act1959Landrum-Griffin Act  Union democracy restored 1978Civil Service Reform Act1978Civil Service Reform Act

17. © 2011 Cengage Learning. All rights reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible Web site, in whole or in part.16–17 FIGURE 16–4 Major National Labor Laws

18. © 2011 Cengage Learning. All rights reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible Web site, in whole or in part.16–18 Employer Unfair Labor Practices Interfering with the organizing and collective bargaining rights of employees.Interfering with the organizing and collective bargaining rights of employees. Dominating or interfering with any labor organization.Dominating or interfering with any labor organization. Encouraging or discouraging membership in a particular union.Encouraging or discouraging membership in a particular union. Discharging persons for organizing activities or union membership.Discharging persons for organizing activities or union membership. Refusing to bargain collectively.Refusing to bargain collectively.

19. © 2011 Cengage Learning. All rights reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible Web site, in whole or in part.16–19 Taft-Hartley (Labor-Management Relations) Act Right-to-Work LawsRight-to-Work Laws  State laws that prohibit contracts requiring employees to join unions to obtain or continuing employment. Types of Shops Closed ShopUnion Shop Agency Shop Maintenance- of-Membership Shop

20. © 2011 Cengage Learning. All rights reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible Web site, in whole or in part.16–20 FIGURE 16–5 Right-to-Work States

21. Quiz Set 2 © 2011 Cengage Learning. All rights reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible Web site, in whole or in part.16–21

22. © 2011 Cengage Learning. All rights reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible Web site, in whole or in part.16–22 FIGURE 16–6 Typical Unionization Process

23. © 2011 Cengage Learning. All rights reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible Web site, in whole or in part.16–23 Organizing Campaign Holding mandatory employee meetings. Distributing anti-union leaflets and letters Anti-union videos, e-mails, and other electronic means. Employers’ Union Prevention Efforts

24. © 2011 Cengage Learning. All rights reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible Web site, in whole or in part.16–24 Unions’ Organizing Efforts Salting Authorization Cards Bargaining Unit Composition Contract Negotiation Certification and Decertification Unionization Efforts

25. © 2011 Cengage Learning. All rights reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible Web site, in whole or in part.16–25 Bargaining Unit Composition “Community of Interest”“Community of Interest”  Wages, hours, and working conditions  Traditional industry groupings for bargaining purposes  Physical location and amount of interaction and working relationships among employee groups  Supervision by similar levels of management Supervisors and Union IneligibilitySupervisors and Union Ineligibility  Supervisors are excluded from bargaining units.

26. © 2011 Cengage Learning. All rights reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible Web site, in whole or in part.16–26 FIGURE 16–7 Continuum of Collective Bargaining Relations

27. Quiz Set 3 © 2011 Cengage Learning. All rights reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible Web site, in whole or in part.16–27

28. © 2011 Cengage Learning. All rights reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible Web site, in whole or in part.16–28 Collective Bargaining Issues Management Rights Union Security (dues checkoff) Classification of Bargaining Issues Bargaining Issues

29. © 2011 Cengage Learning. All rights reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible Web site, in whole or in part.16–29 Classification of Bargaining Issues Mandatory Issues Permissive Issues Illegal Issues Collective Bargaining Issues

30. © 2011 Cengage Learning. All rights reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible Web site, in whole or in part.16–30 Collective Bargaining Process Conciliation Mediation Arbitration Strikes and Lockouts Settlement and Contract Agreement Continuing Negotiations in Good Faith Preparation and Initial Demands Bargaining Impasse Ratification

31. © 2011 Cengage Learning. All rights reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible Web site, in whole or in part.16–31 FIGURE 16–8 Weekly Earnings of Union and Nonunion Workers Source: Bureau of Labor Statistics, “Union Members Summary,” January 22, 2010.

32. © 2011 Cengage Learning. All rights reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible Web site, in whole or in part.16–32 FIGURE 16–9 Typical Items in a Labor Agreement 1.Purpose of agreement 2.Non-discrimination clause 3.Management rights 4.Recognition of the union 5.Wages 6.Incentives 7.Hours of work 8.Vacations 9.Sick leave and leaves of absence 10.Discipline 11.Separation allowance 12.Seniority 13.Bulletin boards 14.Pension and insurance 15.Safety 16.Grievance procedure 17.No-strike or lockout clause 18.Definitions 19.Terms of contract (dates) 20.Appendices

33. © 2011 Cengage Learning. All rights reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible Web site, in whole or in part.16–33 Strikes and Lockouts StrikeStrike  A work stoppage in which union members refuse to work in order to put pressure on an employer. LockoutLockout  Shutdown of company operations undertaken by management to prevent union members from working. Striker ReplacementsStriker Replacements

34. © 2011 Cengage Learning. All rights reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible Web site, in whole or in part.16–34 Strikes Economic Strikes Unfair Labor Practice Strikes Wildcat Strikes Sympathy Strikes Jurisdictional Strikes Types of Strikes

35. © 2011 Cengage Learning. All rights reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible Web site, in whole or in part.16–35 Union-Management Cooperation Issues Cooperation and Joint Efforts Employee Involvement Programs (Teams) Unions and Employee Ownership Union— Management Cooperation

36. © 2011 Cengage Learning. All rights reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible Web site, in whole or in part.16–36 Grievance Management ComplaintComplaint  Indication of employee dissatisfaction GrievanceGrievance  A complaint formally stated in writing Grievance ProceduresGrievance Procedures  Formal channels used to resolve grievances  Union representation (Weingarten) rights Grievance ArbitrationGrievance Arbitration  Means by which a third party settles disputes arising from different interpretations of a labor contract.

37. © 2011 Cengage Learning. All rights reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible Web site, in whole or in part.16–37 FIGURE 16–10 Typical Division of HR Responsibilities: Grievance Management

38. © 2011 Cengage Learning. All rights reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible Web site, in whole or in part.16–38 FIGURE 16–11 Steps in a Typical Grievance Procedure

39. Quiz Set 4 © 2011 Cengage Learning. All rights reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible Web site, in whole or in part.16–39

40. UNITE HERE Local 1 Chicago (Video) This video emphasizes issues surrounding union negotiation, collective bargaining, boycotts, strike votes, and public awareness campaigns especially in the hospitality industry. Challenges regarding unionizing non-union workers are discussed as well as disagreements between employees and management about wages and work standards. Collective Bargaining issues are discussed by: - Henry Tamarin (President of Local 1 Chicago and Executive VP of the International union) - A unionized housekeeper/shop steward - A hotel restaurant cook/shop steward - Annemarie Strassel (a UNITE HERE staff member) - An organizer for Local 1 Specific issues discussed include: - Boycotts, strike votes, and public awareness campaigns. - The disagreements between employees and management about wages and work standards. - Relationships between organizations and unions. - The challenges in organizing non-union workers to increase the number of unionized workers. © 2011 Cengage Learning. All rights reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible Web site, in whole or in part.16–40

41. UNITE HERE Local 1 Chicago (Video Question 1) (a) The video talks about UNITE HERE, an international union, and Local 1 Chicago, a local. Describe the relationship between an international and a local union. Is UNITE HERE an industrial or craft union? (b) Two union stewards are included in the video. What is the role of a union steward? © 2011 Cengage Learning. All rights reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible Web site, in whole or in part.16–41

42. UNITE HERE Local 1 Chicago (Video Question 2) (a) Patrick Mooney is an organizer for UNITE HERE Local 1 Chicago. He talks in the video about working with casino employees that are willing to serve as shop stewards and each shop steward works with an organizing committee of employees that they train how to organize. What are some other efforts that unions use to persuade employees to sign authorization cards? b) What are three union prevention efforts that management might do to prevent employees from signing authorization cards? © 2011 Cengage Learning. All rights reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible Web site, in whole or in part.16–42

43. UNITE HERE Local 1 Chicago (Video Question 3) (a) In the video, one of the union stewards mentions that the union is negotiating with the employer but the union has taken a strike vote. Why would a union take a strike vote if it is still negotiating with management? What is the difference between a strike and a lockout? Why would management prevent union members from working? (b) If the union and management reach an impasse, what are three possible processes to deal with a bargaining impasse other than a strike or lockout? © 2011 Cengage Learning. All rights reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible Web site, in whole or in part.16–43