Public/Private Sector Comparison

1. Public – 2008 Unionization 36.8% UnMem 40.7% Repped No. Un Mmbrs/Repped 7.8 Mil/8.7 Mil Total Employed = 20.01 Million Pct Total Empl = 16.2% Pct Union Members/ Repped = 48.7%/48.8% Private Nonag – 2008 Unionization 7.6% Un Mem 8.4% Repped No. Un Mmbrs/Repped 8.23 Mil/9.05 Mil Total Employed = 107.0 Million Pct Total Empl = 82.7% Pct Union Members/ Repped = 51.1%/51.1% Public/Private Sector Comparison

2. Basic Issues • Public Employees in U.S. not covered by NLRA or RLA • Public Ees below federal level - generally by state laws • Federal Employees - federal law • 40 states have some kind of coverage • Sovereignty Issue

3. Modified NLRA Model • Representation Procedures • Obligation of Employer to Bargain • Formalized Procedures to Resolve Impasse • Mediation • Fact-Finding (Advisory Arb) • Administration Through a Specialized Agency • Limitations on Right to Strike

4. Overview • Comprehensive Laws in 25 States plus DC • Cover a substantial majority of public ees • Procedures of representation and exclusivity • Duty to Bargain • Unfair Labor Practices • Independent Admin. Agency • Impasse Resolution Procedures • Grievance Resolution Procedures • States are: AK, CA, CT, FL, HI, IL, IA, ME, MD, MA, MI, MN, MT, NB, NH, NJ, NM, NY, OH, OR, PA, RI, VT, WA, WI

5. Overview (cont.) • Laws that protect CB or “meet and confer” for specific occupation (police, fire, etc.), classes (public safety), or level of govt. • AL, DE, GA, ID, IN, KS, KY, MO, NV, ND, OK, SD, TN, TX, UT, WY. • 9 States have no provisions for public employee bargaining • AZ, AR, CO, LA, MS, NC, SC, VA, WV

6. Overall • Half of states give full CB right to a majority of public employees in the state • Anomaly • Public CB legal coverage is less than NLRA • Public sector unionization rate is greater than private sector

7. Recent Trends • Minimal increase in coverage in last quarter century • Illinois – 1983 • Ohio 1983 • New Mexico • 1993 – passed; 1999 - lapsed; 2003 – reenacted • Washington - 2001 • Recent Reductions in Coverage • Loss of rights for state employees through repeal of gubernatorial exec order • KY – 2003 • MO – 2005 • IN - 2005

8. Differences • Impasse Procedures • US Private Sector • Self-help • Bargaining power • US public sector • Impasse procedures as an alternative to strikes

9. Terminal Resolution Procedures/Strike Substitutes • 33 states • Binding arbitration - 21 • Final offer Total Package • Conventional • Final Offer Issue-by-Issue • Fact-Finding (advisory arbitration) – 7 • Mediation or something else – 5

10. Types of Arbitration • Final Offer Total Package • Arb must pick the total package of one party • Encourages each party to be “reasonable” • Gives arbitrator little discretion • May require arbitrator to reject an offer position because of one or two “odd” proposals in a package • Conventional Arbitration (Mich for nonecon issues) • Arb may choose a party’s offer or award as arb wishes • Maximum discretion for arbitrator • Does not encourage the parties to be “reasonable” if they believe arb will “split the difference” • Final Offer Issue-by-Issue (Mich for economic issues) • Arb chooses final offer for each issue • What is an “issue?” • Gives arb some discretion among issues

11. Private Sector • United States • Voluntary • Steelworkers • Steel Industry Experimental Negotiating Agreement • Dow Corning (Midland) • Mandatory • None Currently • EFCA • Canada • First contract arbitration in • British Columbia, Manitoba, Newfoundland and Laborador, Ontario, Quebec, Prince Edward Island, Saskatchewan, Federal Jurisdiction

12. SEC. 3. FACILITATING INITIAL COLLECTIVE BARGAINING AGREEMENTS. Section 8 of the National Labor Relations Act (29 U.S.C. 158) is amended by adding at the end the following: ‘(h) Whenever collective bargaining is for the purpose of establishing an initial agreement following certification or recognition, the provisions of subsection (d) shall be modified as follows: ‘(1) Not later than 10 days after receiving a written request for collective bargaining from an individual or labor organization that has been newly organized or certified as a representative as defined in section 9(a), or within such further period as the parties agree upon, the parties shall meet and commence to bargain collectively and shall make every reasonable effort to conclude and sign a collective bargaining agreement. ‘(2) If after the expiration of the 90-day period beginning on the date on which bargaining is commenced, or such additional period as the parties may agree upon, the parties have failed to reach an agreement, either party may notify the Federal Mediation and Conciliation Service of the existence of a dispute and request mediation. Whenever such a request is received, it shall be the duty of the Service promptly to put itself in communication with the parties and to use its best efforts, by mediation and conciliation, to bring them to agreement. ‘(3) If after the expiration of the 30-day period beginning on the date on which the request for mediation is made under paragraph (2), or such additional period as the parties may agree upon, the Service is not able to bring the parties to agreement by conciliation, the Service shall refer the dispute to an arbitration board established in accordance with such regulations as may be prescribed by the Service. The arbitration panel shall render a decision settling the dispute and such decision shall be binding upon the parties for a period of 2 years, unless amended during such period by written consent of the parties.’.

13. Classes/Occupations of Employees Uniformed Public Safety Employees of counties and municipalities Other ees of municipalities and counties exc. Unif. PS Public Education State Employees Statutes and Enabling Authority Public Employee Relations Act Act 312 Act 112 State Constitution and Civil Service Public Employee Collective Bargaining in Michigan

14. Uniformed Public Safety Employees of Municipalities and Counties (Police, Fire, EMT) • Statutes • PERA • Act 312 • Representation • Bargaining • Mediation • Compulsory Arbitration

15. Criteria for Arbitrator Decisions • Comparability • Internal (other employees in jurisdiction) • External (employees in comparable jurisdictions) • Ability to pay • Status Quo • Rationale for changing? • Labor Market • Cost-of-Living • Morale and safety • Historical Factors • Anything else