UNDERSTANDING EMPLOYEE- MANAGEMENT ISSUES AND RELATIONS Bus101

1. Discuss the major legislation affecting trade unions. 2. Understand the collective bargaining process. 3. Outline the objectives of trade unions. 4. Describe the negotiation tactics used by labour and management during conflicts, and discuss the role of unions in the future. 5. Explain some of today’s employee-management issues. Bus101

 Union: An employee organization that has the main goal of representing members in employee- management bargaining over job-related issues.  Employee-management relationships have a history of being rocky  Employees turn to unions for assistance in gaining benefits and workplace rights  Management has the responsibility of producing a profit, so they are often stuck with hard decisions Bus101

 Union density: A measure of the percentage of workers who belong to unions.  The Canadian Union of Public Employees is Canada’s largest union with 590,000 members.  The Canadian Auto Workers Union is Canada’s largest private-sector union, with 225,000 members. Bus101

 Growth and influence of organized labour in Canada have depended on: 1. Law 2. Public opinion  Levels established by unions spill over to non- union companies in order to keep their employees happy Bus101

 There are workplace laws in place that differ in each province and territory  A few examples are:  The right to know about workplace hazards  The right to refuse unsafe work  Be aware of the rules in your province and your rights you have as an employee Bus101

 A labour relations board is a body consisting of representatives from government, labour, and business. They deal with:  Certifying trade unions  Investigating complaints of unfair labour practices  Issuing cease and desist orders in cases of unlawful strikes and lockouts  Rendering decisions on jurisdictional issues Bus101

 Collective bargaining: The process whereby union and management representatives negotiate a contract for workers.  Certification: Formal process whereby a union is recognized by the Labour Relations Board (LRB) as the bargaining agent for a group of employees.  Decertification: Process by which workers can take away a union’s right to represent them. Bus101

 Objectives of unions frequently change due to shifts in economic and social trends.  Negotiated labour- management agreement: Agreement that clarifies the terms and conditions and sets the tone under which management and labour agree to function over a period of time. Bus101

 Trade unions usually insist on a union security clause in contracts. There are four types of clauses: 1. Closed shop: A workplace in which all new hires must already be union members. 2. Union shop: A workplace in which the employer is free to hire anybody, but the recruit must then join the union within a short period. 3. Agency shop: A workplace in which a new employee is not required to join the union but must pay union dues. 4. Open shop: A workplace in which employees are free to join or not join the union and to pay or not pay union dues.  Check-off clause: A contract clause requiring the employer to deduct union dues from employee’s pay and remit them to a union. Bus101

 Grievance: A formal protest by an individual employee, with the support of the union, when they believe that management is not abiding by or fulfilling the terms of a labour contract.  Shop stewards: Union officials who work permanently in an organization and represent employee interests on a daily basis. Bus101

 Bargaining zone: Range of options between the initial and final offer that each party will consider before negotiations dissolve or reach an impasse.  Conciliation: A process by which a trade union or an employer must use the government’s services (via the Ministry of Labour) for help in resolving their differences so that they can reach a collective agreement.  Mediation: The use of a third party, called a mediator, who encourages both sides in a dispute to continue negotiating and often makes suggestions for resolving the dispute.  Arbitration: An agreement to bring in an impartial third party to render a binding decision in a labour dispute. Bus101

 Strike: A union strategy in which workers refuse to go to work.  Strike vote: A secret ballet authorizing the union leadership to call a strike.  Wildcat strike: An authorized (by the union) work stoppage while a labour contract is still in effect. Bus101

 Primary boycott: When a union encourages both its members and the general public not to buy the products of a firm involved in a labour dispute.  Secondary boycott: An attempt by labour to convince others to stop doing business with a firm that is the subject of a primary boycott.  Picketing: Strikers walking around the outside of the organization carrying signs and taking to the public and media. Bus101

 Sabotage: When workers damage their machines.  Sit-ins: When workers occupy the workplace and refuse to move.  Work-to-rule: Where employees follow the operating rules of the workplace in every detail to slow down the work. Bus101

 Lockout: An attempt by management to put pressure on unions by temporarily closing the business.  Injunction: A court order directing someone to do something or to refrain from doing something.  Strikebreakers: Replacement workers hired to do the jobs of striking employees until the labour dispute is resolved. Bus101

 Under the Labour Relations Code, essential services legislation restricts the right for people such as hospital workers to strike.  Back-to-work legislation: Legislation that orders an end to a labour-management dispute that has escalated to a strike or lockout, in an industry that the government decides is essential to the operation of the economy.  Example: Canada Post in June, 2011 Bus101

 Givebacks: Concessions made by union members to management, previous gains from labour negotiations are given up to help employers remain competitive and thereby save jobs.  Hopefully unions and management will begin to have better relationships  For co-operating with management, unions can expect improved job security, profit-sharing, and sometimes increased wages. Bus101

 Is it fair for top executives to make tens of millions of dollars in annual compensation?  In 2007 alone:  William Doyle (CEO of Potash Corporation) received $320.4 million  James Balsillie and Michael Lazaridis (RIM) received $178.5 million  Gerald Schwartz (Onex Corporation) was paid $61.7 million Bus101

 Do you think unions are necessary?  Do you believe that union shop agreements are violations of a worker’s freedom of choice in the workplace?  Why are unionization rates much higher in the public sector than in the private sector? Bus101