©2011 Duane Morris LLP. All Rights Reserved. Duane Morris is a registered service mark of Duane Morris LLP. Duane Morris – Firm and Affiliate Offices | New York | London | Singapore | Los Angeles | Chicago | Houston | Hanoi | Philadelphia | San Diego | San Francisco | Baltimore | Boston | Washington, D.C. Las Vegas | Atlanta | Miami | Pittsburgh | Newark | Boca Raton | Wilmington | Cherry Hill | Princeton | Lake Tahoe | Ho Chi Minh City | Duane Morris LLP – A Delaware limited liability partnership presented by James R. Redeker, Esquire May 19, 2011 RESPONDING TO UNION ORGANIZING * prepared for Pennsylvania Homecare Association *No statements made in this seminar or in the PowerPoint or other materials should be construed as legal advice or as pertaining to specific factual situations.

The Stakes: Campaign Direct Costs – Average $50,000 - $100,000 Attorneys Consultants Translators Materials 1

The Stakes: Campaign Indirect Costs -- ?????????? 1.Loss of Productivity 2.Loss of Focus 3.Loss of Morale 4.Adversarialism 2

The Stakes: Ongoing 15 – 25% increase in cost of operations (not including wage and benefit cost increases) 3

The Process: "Voluntary Recognition" 1.Coercion to obtain Neutrality and Cooperation Agreement a.Access i.Contact information ii.Meetings b.Favorable comments 2.Card Signing 3.Demand for Recognition 4.Card Check 5.Recognition Agreement 4

The Process: "Involuntary Recognition" 1.Employee Solicitation 2.Petition 3.10 – 12 days to Hearing 4.Campaign 5.Election within 45 days after Petition 5

Critical Objectives of Response Plan 1.Inoculate employees against appeal of unions 2.Stop employee solicitation 3.Come out of the hearing with the unit, voters and election date you want 4.Win the election 6

Murphy's Laws of Union Organizing 1.When organizing is detected, the boss is out of town 2.Organizing always occurs when you are in the midst of a big project 7

Structure of a Rapid Response Program (RRP) 1.Strategy Team 2.Implementation Team 8

Strategy Team Responsibilities 1.Assure Implementation Team can perform its responsibilities 2.Establish unit and supervisory positions 3.Develop No-Solicitation/No-Distribution Policy, including electronic communications 4.Assure employee issues are addressed promptly and promises are kept 9

Implementation Team Capabilities/Responsibilities/Authority 1.Action within an hour of report of suspected activity 2.Effective communications to employees within four hours 3.Effective counter campaign within 24 hours 10

Preparation Protocol 1.Designate individuals to be contacted upon first notice of activity 2.Collect and maintain current information and materials 3.Identify sources for union specific election/contract information 4.Create initial communication to employees regarding authorization cards/union activity 5.Develop materials/information on units and supervisors 11

Initial Action Protocol 1.Upon notice of suspected activity 2.Upon determination that action is required 3.Within 24 hours of determination that action is required 12

Continuing Activities Protocol 1.Supervisory training 2.Employee communication system and program 3.Monitor internal problem recognition and resolution program 4.Establish system for policing No-Solicitation/No-Distribution policy 5.Develop, monitor and revise union-free statement 13

©2011 Duane Morris LLP. All Rights Reserved. Duane Morris is a registered service mark of Duane Morris LLP. Duane Morris – Firm and Affiliate Offices | New York | London | Singapore | Los Angeles | Chicago | Houston | Hanoi | Philadelphia | San Diego | San Francisco | Baltimore | Boston | Washington, D.C. Las Vegas | Atlanta | Miami | Pittsburgh | Newark | Boca Raton | Wilmington | Cherry Hill | Princeton | Lake Tahoe | Ho Chi Minh City | Duane Morris LLP – A Delaware limited liability partnership Thank you DM2\ *No statements made in this seminar or in the PowerPoint or other materials should be construed as legal advice or as pertaining to specific factual situations.