Labor-Management Accommodation Chapters 13-14 PART FIVE Labor-Management Accommodation Chapters 13-14

Union Representation and Collective Bargaining Chapter 13 Union Representation and Collective Bargaining McGraw-Hill/Irwin © 2006 The McGraw-Hill Companies, Inc. All rights reserved.

Questions This Chapter Will Help Managers Answer How have changes in product and service markets affected the way labor and management relate to each other? How should management respond to a union organizing campaign? To what extent should labor-management cooperative efforts be encouraged? What kinds of dispute-resolution mechanisms should be established in order to guarantee due process for all employees?

Fundamental Features of the U.S. Industrial Relations System Exclusive representation Collective agreements that embody a sharp distinction between negotiation of and interpretation of an agreement Decentralized collective bargaining Relatively high union dues and large union staffs Opposition by both large and small employers to union organization The role of government

Conspiracy Doctrine “The combination of workers to raise their wages constituted an illegal conspiracy in restraint of trade.” This ruling was overturned in 1842 in the case of Commonwealth of Massachusetts v. Hunt.

Sit-Down Strike Workers refuse to leave the premises until employers meet their demands

The Legal Basis for the Unionization Process The Wagner Act, or National Labor Relations Act, of 1935 affirmed the right of all employees to engage in union activities, to organize, and to bargain collectively without interference or coercion from management

Table 13-1 Unfair Labor Practices for Management and Unions Under the Taft-Hartley Act of 1947 1. Interference with, coercion of, or restraint of employees in their right to organize 2. Domination of, interference with, or illegal assistance of a labor organization 3. Discrimination in employment because of union activities 4. Discrimination because the employee has filed charges or given testimony under the act 5. Refusal to bargain in good faith 6. “Hot cargo” agreements: refusals to handle another employer’s products because of that employer’s relationship with the union

Table 13-1 (contd.) Union 1. Restraint or coercion of employees who do not want to participate in union activities 2. Any attempt to influence an employer to discriminate against an employee 3. Refusal to bargain in good faith 4. Excessive, discriminatory membership fees 5. Make-work or featherbedding provisions in labor contracts that require employers to pay for services that are not performed 6. Use of pickets to force an organization to bargain with a union, when the organization already has a lawfully recognized union 7. “Hot cargo” agreements: that is, refusals to handle, use, sell, transport, or otherwise deal in another employer’s products

Secondary Boycott … occurs when a union appeals to firms or other unions to stop doing business with an employer who sells or handles a struck product.

Free-Speech Clause … specifies that management has the right to express its opinion about unions or unionism to employees, provided that it does not threaten or promise favors to employees to obtain anti-union actions

Ways to Kick Off an Organizing Campaign Employees themselves may begin it Employees may request that a union begin one for them In some instances, national and international unions may contact employees in organizations that have been targeted for organizing

Authorization Cards …designate the union as the employees exclusive representative in bargaining with management’

Rules Governing Organizing Activities Employee organizers may solicit fellow employees to sign authorization cards on company premises, but not during working time. This includes email solicitation. Outside organizers may not solicit on premises if a company has an existing policy of prohibiting all forms of solicitation, and if that policy has been enforced consistently. Management representatives may express their views about unions through speeches to employees on company premises. However, they are legally prohibited from interfering with an employee’s freedom of choice concerning union membership.

The Bargaining Unit The group of employees eligible to vote in the representation election

The Election Campaign Management Practices Prohibited by Law Physical interference, threats, or violent behavior toward union organizers Interference with employees involved with the organizing drive Discipline or discharge of employees for pro-union activities Promises to provide or withhold future benefits depending on the outcome of the representation election. These illegal activities are T.I.P.S. -- that is, mgt. may not threaten, interrogate, promise, or spy.

Distributive Bargaining The goals of the parties initially are irreconcilable – or at least they appear that way. Central to the conflict is the belief that there is a limited, controlled amount of key resources available – a “fixed pie” situation. Both parties may want to be the winner; both may want more than half of what is available. Win-Lose

Integrative Bargaining The goals of the parties are not mutually exclusive. If one side pursues its goals, this does not prohibit the other side from achieving its own goals. One party’s gain is not necessarily at the other party’s expense. The fundamental structure of such a bargaining situation is that it is possible for both sides to achieve their objectives Win-Win

Types of Strikes Unfair-labor-practice strikes Economic strikes Unprotected strikes Sympathy strikes

Mediation … is a process by which a neutral third party attempts to help the parties in dispute to reach a settlement of the issues that divide them.

Figure 13-4 Example of a Formal Grievance Procedure in a Unionized Firm Step 2: Meeting ------------------------- Grievant Departmental union steward Chief union steward Immediate supervisor Higher-level supervisor Step 3: Meeting --------------------------- Grievant Departmental union steward Chief union steward Union president Immediate supervisor Higher-level supervisor Industrial relations representative Plant manager Step 1: Meeting ---------------------- Grievant Departmental union steward Immediate supervisor Grievance Filed unresolved unresolved Resolved Resolved Resolved

Figure 13-4 (contd.) Step 5 ---------------------------- Union & mgt.: (1) State in writing the issue to be arbitrated (2) Jointly select an arbitrator Step 4: Meeting -------------------------- Grievant Departmental union steward Immediate supervisor Step 6 ----------------------- Arbitrator reaches a final decision, binding on both parties Unresolved Unresolved Resolved Resolved

Key Terms Discussed in This Chapter Exclusive representation Conspiracy doctrine Sit-down strike Secondary boycott Free-speech clause Authorization cards Card check Bargaining unit Community of interest Secret ballot election Exclusive bargaining representative Decertification Distributive bargaining Integrative bargaining Unfair labor practice strike Economic strike Unprotected strike Sympathy strike Lockout Bargaining impasse Mediation Fact finding

Key Terms (contd.) Interest arbitration Right-to-work laws Union-security clauses Grievance Grievance arbitration