Chapter 20 Lesson 2

1. Chapter 20 Lesson 2 Business in America: Labor

2. Organized Labor • Since 1970, the size of the labor force has doubled. • In those years, the number of workers belonging to a labor union has fallen. • A labor union is an organization of workers that seek to improve the wages and working conditions of its members. • In the early 1970s, about 1 of every four workers belonged to a union. • Today one in eight is a union member. • One reason for the shift in union membership is the shift from manufacturing jobs to service jobs. • Traditionally fewer workers in service jobs have been union members. • Workers in many important jobs and industries belong to unions. • Large numbers of coal miners, airplane pilots, and truck drivers are union members. • Unions have seen gains where teachers and gov`t. employees work.

3. Types of Unions • There are two types of Unions. • A union where all members work at the same craft are called trade unions. • Examples are unions formed by bakers and by printers. • A union that brings together skilled and unskilled workers from the same industry is called an industrial union. • An industrial union might have electricians, carpenters, and laborers who work together to manufacture a product. • An example is the United Auto Workers (UAW). • IN the past they were mostly formed by industrial workers. • Today, even actors and professional athletes have unions. • Another change is the growth in the number of government workers who are union members. • About 1.6 million of these workers belong to the American Federation of State, County, and Municipal Employees (AFSCME). • Prison guards, garbage collectors, and school nurses are part of this union.

4. Union Organization • The basic unit of each union is the local. • A local consist of all members of a particular union who work in one factory, one company, or one geographical area. • All of a union`s locals together form a national union. • Many national unions belong to the American Federation of Labor and Congress of Industrial Organizations, or AFL-CIO. • This union is the largest in the country. • 12 million members, the second largest is Change to win, with about 5.5 Members.

5. Unions in the Workplace • Employees in the work place can not form a union unless a majority of them vote in favor of it. • An agency of the federal government , the National Labor Relations Board (NLRB), makes sure that these elections are carried out fairly and honesty. • A common way unions organize a workplace is with a union shop. • Nearly half the states have the right to work laws, which ban unions. • Other states have what is called a modified union shop. • In this circumstance, or situation, a worker does not have to join a union.

6. Labor Negotiations • When a company`s workers have a union, the union and the company carry out collective bargaining. • In this process, officials from the union and the company meet to discuss the workers` contract. • The contract sets the terms for working at the company. • These talks often focus on wages and benefits. • With most contracts, the two sides reach agreement during the bargaining.

7. Labor`s Tools • One method unions use to is to call a strike. • In a strike, all union members refuse to work. • Striking workers usually stand in public view carrying signs stating they are on strike. • This tactic is called picketing. • The goals are to embarrass the company and to build public support for the strike. • Another tool is to boycott the company. • This is meant to financially hurt the company.

8. Employers` Tools • The employers strongest tool is the lock out. • In a lockout, the employer hope that the loss of income will force workers to accept company terms. • During the lockout, the company often hires replacement workers so it can continue to do business. • Companies may try to stop union actions by asking for an injunction. • An injunction is a legal order from a court to prevent some activity. • The company may ask the court to limit picketing or to prevent or stop a strike.

9. Outside Help • When the parties can not agree on a contract, they have other options, or choices. • They can try mediation. • In this approach, they bring in a third party who tries to help them reach an agreement. • They can also choose arbitration. • With this method, the third party listens to both sides and the decides how to settle the dispute. • Both parties agree in advance to accept the third party`s decision. • If a strike threatens the nations welfare, the government can step in. • Federal law allows the president to order a cooling off period. • The cooling off period lasts for 80 days. • If there is no agreement after that time, the workers have the right to go back on strike. • Ina n extreme situation, the government can take over a company or an industry temporarily.