HFT 2220

1. HFT 2220 Chapter 14 Unions

2. Federal Labor Laws Regarding Unions • Clayton Act (1914) • Norris-Laguardia Act (1932) • Wagner Act (1935) • Taft-Hartly Act (1947) • Landrum-Griffin Act (1959)

3. Clayton Act • First of the labor laws • Enabled employees to legally strike • Enabled employers to file for injunctions

4. Norris-LaGuardia Act • Specifies conditions for employer to file for an injunction • Unlawful acts must have been threatened or occurring • Substantial damage possible • Damage must be greater if injunction is denied • No adequate remedies in damages • Local police unable or unwilling to provide protection • Also prohibits “yellow dog” contracts

5. Wagner Act • National Labor Relations Act • Established NLRB • Set forth definition of unfair labor practices • Labor practices regarding union organization, collective bargaining, or application of company practices

6. Taft-Hartly Act • Extended governmental intervention into labor relations • Closed shops • Illegal – must join union before employment • Union shops • Must join union after employed

7. Landrum Griffin Act • Labor Management Reporting and Disclosure Act • Regulate internal affairs of unions • Ensure union democracy by preventing unethical collusion between union and company • Protect union funds

8. Unfair Labor Practices - Management • Management cannot • Offer a promotion or raise if the employees stays out of the union • Discriminate against any employee in any manner for joining a union • Refuse to hire a person if they belong to a union • Not bargain in good faith over union demands • Harass an employee who files a grievance with the union • Give wage increases to employees who are considering a union

9. Unfair Labor Practices - Unions • Unions cannot: • Make harmful threats to a non-striking worker • Fire union members for crossing a picket line in an unlawful strike • Cause an employer to discriminate against an employee • Make acts of force, violence or threats • Coerce an employee on their choice of representation • Charge excessive or discriminatory dues as a condition of union membership

10. Types of Unions • American Federation of Labor (AFL) • 1886 • Craft union • Helped establish the 8 hour workday • Congress of Industrial Organizations (CIO) • Organized employees of same industry

11. Inappropriate wages Earning flexibility Unpleasant environment Job insecurity No respect Discrimination Favoritism Inconsistent Discipline Employee feels taken advantage of Poor communications Conditions Encouraging Employee Interest in Unions

12. Signs of Union Activity • Presence of unfamiliar faces • Anyone making a list of employee names • Groups of employees in conversation until management appears • New informal groups with leaders • Sudden increase in questions • Small gatherings of employees • Gossip among disgruntled employees

13. Union Certification-Currently • 30 % of employees sign cards requesting election • Petition filed with NLRB • Election held by NLRB • Secret Ballot • To certify union, 50% plus one of all voting employees • Once certified, employer is legally bound to recognize and negotiate with the union • Unlimited bargaining time • Can decertify after 1 year • If union loses the election, must wait one year before organizing again

14. Pending Legislation-EFCA • Employee Free Choice Act • No more secret ballot • Card check • Changes the rules of bargaining • Mandatory mediation after 90 days • Mandatory arbitration after 120 days • Increases penalties against employers • Treble back pay wages • $20,000 fine per occurance

15. Collective Bargaining • The negotiation process between the union and management during which contracts are developed • Taft-Hartly Act defines failure to bargain in good faith if either party: • Fails to provide relevant information • There is surface bargaining (going through the motions) • Refuses to compromise at the outset of negotiations

16. Processes • Grievance • Formal complaints or concerns filed by employee against management. Procedure specified in contract • Mediation • Third party helps union and management meet and reach a voluntary agreement. Non-binding • Arbitration • Third party helps settle a labor dispute. Decision is binding if both parties agreed ahead of time to be bound by it. All decisions are final.

17. Processes • Binding arbitration • Arbitration process when the union and management cannot resolve a grievance through negotiations • Final offer arbitration • Arbitrator chooses one side or the other. • Impasse • Point at which neither the union or management will give up on any point or issue • Boycott • When members of a union refuse to buy products of a company whose union employees are on strike

18. Strikes • Economic strike • Mandatory issues such as wages or working conditions. Legal. • Jurisdictional strike • Based on issue of which union will represent employees. Illegal • Secondary strike • Employees go on strike because employer does business with another company who is on strike. Illegal • Sit down strike • Union members stop working but stay on premises. Illegal • Unfair labor practice strike • Based on managements refusal to bargain collectively or other unfair labor practice. Legal • Wildcat strike • Strike not recognized by the union. Employers can replace union workers and sue the union for damages. Illegal.