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Federal Mediation & Conciliation Service Eugene G. Bralley DMS Saint Louis Sub-Region

Federal Mediation & Conciliation Service Eugene G. Bralley DMS Saint Louis Sub-Region. Impact on Labor-Management Relations 2006 / 2007. F.M.C.S. Creation. Independent agency under Taft-Hartley amendments in 1947.

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Federal Mediation & Conciliation Service Eugene G. Bralley DMS Saint Louis Sub-Region

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  1. Federal Mediation & Conciliation ServiceEugene G. Bralley DMSSaint Louis Sub-Region Impact on Labor-Management Relations 2006 / 2007

  2. F.M.C.S. Creation • Independent agency under Taft-Hartley amendments in 1947. • Resolve collective bargaining disputes which threaten the free flow of commerce. • Neither a regulatory nor an enforcement agency, but a neutral designed to assist Labor & Management.

  3. F.M.C.S. Mission • Promote sound & stable L/M relations. • Prevent/minimize work stoppages through mediation assistance to parties. • Advocate collective bargaining, mediation & voluntary arbitration. • Develop the art, science & practice of conflict resolution. • Foster constructive joint L/M processes.

  4. Collective Bargaining Mediation Private, Public, & Federal Sectors Relationship Development & Training Customized training Education, Outreach & Advocacy Of collective bargaining processes Alternative Dispute Resolution In-lieu of litigation Arbitration Services International Program F.M.C.S. Services

  5. FMCS Impact on U.S. Economy • FMCS mediation in CBM disputes saved U.S. workers & businesses $9 billion from 1999-2004 by averting work stoppages • Reduced number of impacted workers by 43.2% (~4.3 million vs. 2.4 million) • Prevented 1,265 work stoppages between 1999-2004. (Source: EPF 2005 Study)

  6. Collective Bargaining Mediation • 2006 U.S. Statistics • 23,002 Intake cases • 4,486 closed (active) • 86% closed/agrmt. • 1,632 grievance mediation cases • 266 work stoppages (all size B.U.’s)

  7. Work Stoppages(U.S.)(all size bargaining units)

  8. Work Stoppage Trends Number of Work Stoppages Ended in Fiscal Year, 1970-2007 Sources: FMCS Case Data Note: Preliminary data from FMCS-commissioned study

  9. Job Security Subcontracting Off-shore job losses Technology Staffing issues Healthcare industry “Foreign” nurse recruiting Construction building trades Mandatory O/T State legislation Pension Benefits Defined benefits vs. defined contributions Two-tier systems “Freezing Plans” (IBM, HP, Verizon, Alcoa, Motorola) Health Insurance Active employees & retirees Plan costs & design Co-pays & cost sharing “Fair Share Health Care” legislation introduced in 31 states Hot Topics at the Table

  10. Hospital Acuity “Specialty” demand continues to rise Insufficient number of faculty in nursing programs to accommodate enrollment demands Low retention rates for younger workers Aging workforce Within 10 years, 40% of RN’s will be 50 years old or older ½ of working RN’s will reach retirement age in next 15 years SOME UNDERLYING CAUSESOF NURSING SHORTAGE

  11. A Mounting Labor Shortage • The NAHB reported in the Builders’ Economic Council Survey in May 2006 that, “every sector of the construction industry is experiencing some labor shortage. The numbers are highest in the need for finished and rough carpenters.”

  12. A Mounting Labor Shortage • According to the Home Builders Institute, the industry employed 6.7 million workers in 2001 and an additional 1.5 million are needed by 2010 just to sustain productivity. • According to the National Center for Construction Education and Research (NCCER), the average age of craft workers is 47.

  13. Relationship Development & Training • 2006 U.S. Statistics • Active in 2,445 joint training/process cases

  14. Alternative DisputeResolution • 2006 U.S. Statistics • 1,269 assigned cases • Federal agency ADR contracts, public sector and private sector employment mediations

  15. A.D.R. Growth(U.S.)

  16. Ineffective communications Inaccurate info./data Personalities / emotion Morals differ Internal/external political pressure Un-realistic expectations (economic, status, etc.) Perception of “Fair” Pride Common reasons for not reaching agreement

  17. WHY USE MEDIATION ?

  18. Why mediation can be an effective tool for conflict resolution • Parties retain control of resolution • Voluntary (in most cases) • Informal vs. formal process • Time efficient • Cost effective

  19. Estimated Direct Financial Impact of Work Stoppages by Year Source: Employment Policy Foundation 2005 & FMCS Economic Model

  20. Early FMCS Intervention is Key to ReducingWork Stoppage Duration Source: Employment Policy Foundation 2005 & FMCS Economic Model

  21. For More Information • Visit Our Web site: WWW.FMCS.GOV

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