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CONTRACT ADMINISTRATION

CONTRACT ADMINISTRATION. Traditional collective bargaining during the term of the collective agreement Normally carried out through the grievance procedure Substitute for right to strike Means by which the collective agreement is enforced on day-to-day basis Traditional Roles of Parties

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CONTRACT ADMINISTRATION

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  1. CONTRACT ADMINISTRATION • Traditional collective bargaining during the term of the collective agreement • Normally carried out through the grievance procedure • Substitute for right to strike • Means by which the collective agreement is enforced on day-to-day basis • Traditional Roles of Parties • Management acts • Union reacts through the grievance procedure

  2. Administration of the Grievance Procedure • In almost all cases, it is a multistep procedure involving successfully higher levels of union and management • decision-making authority • increasing detachment and objectivity

  3. Employer -Reps 1 - F/L Supervisor 2 - Plant/Site Labor Relations Director 3 - Corp. Labor Relations/Reg. LR 4 - Arbitration Union Reps 1 - Steward/ Committeeperson 2 - Local President/ Chief Steward/ Chair of Barg Committee (highest plant level) 3 - Int. Rep./Local Pres./Bus. Agent 4 - Arbitration Steps in a Typical Grievance Procedure

  4. How is a Grievance Filed? • A grievance is normally filed by initiating the grievance procedure • Starts the process at Step 1 • Union legally obligated to file a grievance if employee insists • Duty of Fair Representation • Legal obligation to represent the employee fairly and in a non-arbitrary and non-capricious manner

  5. Why Are Grievances Filed? • Relationship Determinants • Nature of the relationship – adversarial or cooperative? • Individual Determinants • less satisfied with their jobs • poorer attitudes toward supervisors • greater feelings of pay inequity • stronger beliefs that workers should participate in decision-making • were less satisfied and more active in unions, less educated • more likely to be African-American • Organizational Determinants • Cost of leaving high (high wages and high unemployment • Perceived strictness of management/supervision • Union Determinants • Union policies (such as writing all grievances) • Union politics

  6. What is a Contractual/Legal Grievance? • Defined by the collective agreement • any dispute over the interpretation of the agreement • “express, written terms of the agreement” • “any difference of opinion” • “(a)ny difference of opinion, controversy, or dispute . . . concerning conditions of employment, or concerning the interpretation or application of this agreement” • Typically a grievance will cite the contract provision that is alleged to be violated

  7. Processing of Grievance • As cases go through the steps of the procedure, formality increases • Union • Controls the grievance procedure • Grievant (Grievor) has no right to have case taken beyond Step 1

  8. Grievance Procedure – Prior to Arbitration • Most grievances are resolved prior to final and binding arbitration • Law generally requires the parties to share information with each other during grievance process • Somewhat analogous to the bargaining process • Purpose is to enhance chances for agreement • Grievance procedure a blend of the formal and the informal

  9. Resolutions • Grievance Withdrawn • Outright but without prejudice (to future cases) • With an agreement on the matter for the future • Grievance Granted • Outright but without prejudice (to future cases) • With an agreement on the matter for the future • Compromise • Discharge • Employee monetary settlement • Last chance agreement • Almost all grievances are resolved prior to arbitration

  10. Should Union Go Arbitration? Yes No Merits of the grievance Union – no violation Employer – violated contract Not a strong enough case to use as a test case Cost is high relative to benefit (non-discharge case) • Merits of the grievance • Union – contract violated • Employer- no violation • Test case, need certainty in a matter • Legal obligation to fairly represent employees • Union policy

  11. Concepts of the Grievance Procedure • Legalistic Concept • As a series of steps that must be followed prior to going to arbitration • Bargaining Concept • As a vehicle for meeting and solving problems that arise during the term of the collective agreement • By resolution • By creating agenda items for bargaining

  12. Examples of Bargaining Concept • City in Michigan Housing Case • Soft-Drink Company Pay Case

  13. Arbitrator Selection Systems • Ad Hoc – Administering Agencies • Federal Mediation and Conciliation Service • State Agency (Michigan Employment Relations Commission) • American Arbitration Association (private) • Permanent Panel • Rotate • Earliest hearing date • Single Umpire

  14. Issues Associated with Selection Systems • Ad Hoc • Arbitrator clean slate, absence of preconceptions • Not familiar with industry or parties • Permanent Panel • Familiar with parties • May have preconceptions of parties • Single Umpire • Similar to permanent panel • Certainty

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