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Chapter 15

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15-2

15
Labor Relations and Collective Bargaining

McGraw-Hill/Irwin Human Resource Management, 10/e

© 2007 The McGraw-Hill Companies, Inc. All rights reserved.

15-3

Introduction
This

chapter introduces a powerful political and economic force in American society—the labor union An organization of employees that uses collective action to advance its members’ interests in regard to wages and working conditions Employees of both private and public firms have joined unions Regardless of the sector in which they are employed, their philosophy is the same—strength is found in joining together

15-4

Introduction
In

general, there are two types of unions: An industrial union consists of all employees in a company or industry, regardless of occupation Members of a craft union belong to one craft or to a closely related group of occupations are discussed in the context of labor relations The relationship includes: Negotiation of a written contract Interpretation and administration of the contract

Unions

15-5

Diagnostic Approach to Labor Relations
Union

officials and management interact daily and at contract time Their attitudes toward each other affect the degree of peace and effectiveness that can exist factors that influence the nature of collective bargaining: Labor market conditions Government

Environmental

15-6

Diagnostic Approach to Labor Relations
If

the labor market has a surplus and demand for goods is soft, management has an advantage The company can sustain a strike and perhaps benefit economically from it Under these conditions, union members are less likely to vote for a strike the labor market is tight and the demand for goods is strong, the union has the advantage

When

15-7

Diagnostic Approach to Labor Relations
The

government creates the legal environment in which labor relations occur Government boards rule on legal differences in the system, and government mediators/conciliators often help settle disputes Governments can also enter into trade agreements which can affect other external factors, including: Economic conditions Composition of the labor force Organizational locations

15-8

Early Collective Action & Union Formation
Employers

successfully resisted the earliest efforts to organize unions In 1794, strikers were found to have engaged in a criminal conspiracy and were fined doctrine was a key management weapon until 1842 The Massachusetts Supreme Court decided that criminal conspiracy does not exist if unions use legal tactics to achieve legitimate goals

This

15-9

Early Collective Action & Union Formation
Rapid

industrial expansion began during the Civil War, when employment conditions included: Long work hours Unsafe working conditions Low wages High unemployment turbulent era after the war brought recognition that labor unions could help solve social and economic problems

The

15-10

Early Collective Action & Union Formation
first union to achieve significant size and influence was the Knights of Labor Formed around 1869, it attracted employees and local unions from all crafts and occupational areas Knights had two objectives: Establish one large union for all employees, regardless of trade Replace capitalism with socialism strength of the Knights of Labor was diluted It failed to integrate needs and interests of both skilled and unskilled members

The

The

The

15-11

Early Collective Action & Union Formation
group of craft unions left the Knights of Labor around 186 to form the American Federation of Labor (AFL) Samuel Gompers of the Cigar Maker’s Union was elected president Membership was initially limited to skilled tradespeople, such as machinists, bricklayers, and carpenters

A

15-12

Early Collective Action & Union Formation
in unions was slow from 1886 to 1935 In 1935, the Congress of Industrial Organizations (CIO) was formed It was led by John L. Lewis, president of the United Mine Workers CIO grew quickly Craft, semiskilled, and unskilled employees within an industry could all be members

Growth

The

Competition

for new members led to conflicts between the AFL and CIO until they merged in 1955

15-13

Labor Legislation Overview
interaction is governed by state and federal laws
Arbitration

Union-management

Act of 1888: Encouraged the voluntary settlement of labor disputes in the railroad industry through arbitration Labor Act of 1926: Gave railroad workers the right to organize and bargain collectively with management Prohibited yellow-dog contracts

Railway

15-14

Labor Legislation Overview
the 1930s, the federal government became involved in labor disputes outside the railroad industry Norris-LaGuardia Act of 1932: Limited the use of injunctions to stop union picketing, boycotts, and strikes Extended the prohibition of yellow-dog contracts beyond the railroad industry

In

15-15

Labor Legislation Overview
law today is linked to three federal statutes: National Labor Relations Act (1935 Wagner Act) Labor Management Relations Act (1947 Taft-Hartley Act) Labor-Management Reporting and Disclosure Act (1959 Landrum-Griffin Act)

Labor

Better

known as the Wagner Act, the National Labor Relations Act was passed in 1935 to: Encourage the growth of trade unions Keep management from interfering with this growth

15-16

National Labor Relations Act
originally drafted, it included seven topics: Recognition of the right to bargain collectively Limitation on collective bargaining Representation Certification and decertification elections Terms of collective bargaining agreements Problems of company unions Right to strike

As

15-17

National Labor Relations Act
act restricts unfair practices of management: Interfering with, restraining, or coercing employees in the exercise of their rights to organize Dominating or interfering with the affairs of a union Discriminating in regard to hiring, tenure, or any employment condition for the purpose of encouraging or discouraging membership in a union Discriminating against or discharging an employee because he/she filed charges or gave testimony under the Wagner Act Refusal to bargain in good faith

This

15-18

National Labor Relations Act
Wagner Act was based on the notion that: An individual employee has unequal bargaining power compared to the employer

The

Employers

strongly objected and fought to have the act declared unconstitutional The U.S. Supreme Court upheld the Act in National Labor Relations Board v. Jones and Laughlin Steel power to implement the Act was given to: A five-person National Labor Relations Board (NLRB) and a staff of lawyers and other personnel

The

15-19

National Labor Relations Act

The

National Labor Relations Board: Sets up elections to determine if workers wish to have a union as a bargaining representative Investigates complaints of unfair labor practices

15-20

Labor Management Relations Act
in 1947, the Labor Management Relations Act, (Taft-Hartley Act): Amended and supplemented the Wagner Act Guaranteed employees’ bargaining rights Forbade the unfair labor practices by employers established in the Wagner Act Specified unfair labor practices by a union

Passed

15-21

Labor Management Relations Act
labor practices by a union include: Restraining or coercing employees in the exercise of their right to join/not join a union Causing an employer to discriminate against an employee other than for nonpayment of dues or initiation fees Refusal to bargain with an employer in good faith Charging excessive or discriminatory membership fees Causing an employer to give payment for service not performed (featherbedding)

Unfair

15-22

Labor Management Relations Act

Unfair

labor practices by a union (continued): Inducing, encouraging, threatening, or coercing any individual to engage in strikes, refusal to work, or boycott where the objective is to: Force any employer/self-employed person to cease using the products of, or doing business with, another Force any employer to recognize or bargain with the union, unless it has been certified by the NLRB Force an employer to apply pressure to another employer to recognize a union

15-23

Labor-Management Reporting & Disclosure Act
1959, Congress passed the Labor-Management Reporting and Disclosure Act to regulate the internal affairs of unions Also known as the Landrum-Griffin Act  Gives every union member the right to: Nominate candidates for union office Vote in union elections Attend union meetings Examine union accounts and records

In

15-24

Labor-Management Reporting & Disclosure Act
union is also required to submit an annual financial report to the Secretary of Labor Employers must report payments or loans made to unions, the officers, or members This eliminated “sweetheart contracts” Union leaders and management agree to terms that work to their mutual benefit, but maintain poor working conditions for employees

The

15-25

Structure and Management of Unions
structure in the U.S. consists of four levels:
The federation of unions (AFL-CIO) Intermediate National Local

Union

15-26

Federation of Unions
over 68 national and international labor unions belong to the AFL-CIO Formed in 1955 when the American Federal of Labor merged with the Congress of Industrial Organization Represents over 13 million employees

Today,

15-27

Federation of Unions
stated mission of the AFL-CIO: Strengthening working families by enabling more workers to join together in unions Building a stronger political voice for working families Providing a new voice for workers in the global economy Creating a more effective voice for working families in our communities

The

15-28

Federation of Unions
headquarters provides many services to affiliated unions, including: Training for regional and local union leaders Organizing assistance Strike funds Data for use in contract negotiations chief governing body of the AFL-CIO is the biennial convention, which sets policy Between conventions, executive officers, assisted by a 51-member executive council and the general board, run the organization

National

The

15-29

Intermediate Union Bodies
organizing bodies interface with the AFL-CIO and with national and local units Intermediate units include: Regional or district offices Trade conferences Conference boards Joint councils They are usually affiliated with a national union and provide services to a given geographic area

Intermediate

15-30

Intermediate Union Bodies
primary purpose of intermediate bodies is to: Help coordinate union membership Organize discussions of issues pertaining to the relationship between labor and management Join together local unions with similar goals They may also provide office space and other facilities for local unions

The

15-31

National Unions
national union establishes the rules, policies, and procedures under which local unions may become chartered members Each national union has control over local unions Collecting dues, admitting new members to the local, using union funds The national provides local unions with support for organizing campaigns and administrating contracts are about 100 national union organizations They have from 18 to over 1.4 million members

The

There

15-32

Local Unions
grass roots of labor organizations are the local craft or industrial unions Local unions have a direct influence over membership Through the local, members exercise their complaints and pay the dues that support the national union activities of locals are conducted by officials elected by the members Elected officials of local unions often have full-time jobs in addition to their union duties

The

The

15-33

Local Unions
many unions, the business representative is the dominant person Responsibilities of the business representative: Negotiate and administer the labor agreement Settle contract problems that arise Collect dues Recruit new members Coordinate social activities Arrange union meetings

In

15-34

Local Unions
union steward represents the local union members in their on-the-job relations with managers Stewards are the union’s direct link to management They are front-line representatives who must: Work for the workers they represent Keep the lines of communication, trust, and respect open between union members and management

The

15-35

Union Organizing Campaign
generally join unions to satisfy needs that are important to them, including: Job security Socialization and group membership Safe and healthy working conditions Communication link to management Fair compensation

Employees

15-36

Union Organizing Campaign
most likely to trigger union organizing: Lack of job security Low wages Subcontracting Hostile supervisory practices Inadequate health care or other benefits

Conditions

15-37

The Union Organizing Process
Exhibit 15-3 here

Insert

15-38

Authorization Cards and Certification
authorization card is a document indicating that an employee wants union representation A signed card authorizes the union to represent an employee during negotiations At least 30% of employees must sign before the NLRB can be petitioned to hold a representation election If over 50% of the employees sign up, the union can ask the company to recognize it as the employees’ representative without a certification election

An

15-39

Authorization Cards and Certification
ways a union can be certified: The union proves it represents a majority of the firm’s employees, so management voluntarily recognizes it The union receives a simple majority during a certification vote The NLRB directs the employer to recognize the union without an election This occurs when the employer engages in unfair labor practices during the organization campaign

Three

15-40

Union Security
a union is certified, it’s focus shifts to union security or preservation of membership Unions want to increase their security by requiring all employees to join Especially true if the union was voted in by a slim margin employees won’t want to join the union, so different types of union “shops” have developed

After

Some

15-41

Levels of Union Security
shop There is neither a union present nor an effort by management to keep the union out shop Management tries to keep a union out without violating any labor laws shop All non-managerial employees must pay union dues, whether they are union members or not

Open

Restricted

Agency

15-42

Levels of Union Security
shop The union is recognized and union members are given preference in some things shop New employees must be a union member when hired shop Requires an employee to join the union after being hired

Preferential

Closed

Union

15-43

Levels of Union Security
employee can satisfy membership requirements by simply paying union initiation fees and dues Payments cannot support activities unrelated to collective bargaining, grievance resolution, or contract administration Marquez v. Screen Actors Guide (1998) A compulsory unionism clause need not explain alternatives to formal membership Employees must be told that the membership requirement is met by paying union fees and dues

An

Per

15-44

Right-To-Work Requirements
14B is an important elements of the TaftHartley Act Any state that wishes to pass legislation more restrictive of union security than the union shop is free to do so date, 22 states have enacted right-to-work laws These states ban compulsory union membership Employees are permitted to resign from union membership at any time

Section

To

15-45

Public Employee Associations
employees first organized during the early 1800s in federal shipyards In 1836, a naval shipyard strike involved direct confrontation with President Andrew Jackson In 1863, the postal workers organized the first nationally prominent employee association By 1890, the National Association of Letter Carriers was created By 1896, other federal employees began to organize In 1912, customs inspectors organized

Public

15-46

Public Employee Associations
two larger, general purpose federal organizations were formed: The American Federation of Government Employees (AFGE) in 1932 The National Association of Government Employees (NAGE) in 1934 and local government associations were not evident until the 1960s Local employees (teachers, firefighters, police) tended to form associations along craft lines membership among public employees has steadily increased since 1983

Finally,

State

Union

15-47

Public Sector Labor Legislation
Kennedy issued Executive Order 10988 Created a federal collective bargaining system Included a strong management rights clause and banned strikes and the union shop

1962—President

1969—President

Nixon issued Executive Order 11491, which allows the Secretary of Labor to: Determine bargaining units Supervise union recognition Examine unfair labor practices
It

also established the Federal Labor Relations Council

15-48

Public Sector Labor Legislation
1975, President Ford issued Executive Order 11823, which: Requires federal agencies to bargain with their employees on all issues, unless the agency can show a compelling need not to negotiate Provides for an FLRC-appointed final arbitrator

In

15-49

Public Sector Labor Legislation
1978, the Civil Service Reform Act was passed: It abolished the Civil Service Commission Federal employees’ rights were placed under the Federal Labor Relations Authority (FLRA) It created the Office of Labor-Management Relations to provide technical advice to agencies on labor policies, leadership, and contract administration

In

15-50

Collective Bargaining
bargaining is a process by which: Representatives of the organization meet and attempt to work out a contract with the employees’ representative, the union

Collective

The

collective bargaining process and the final agreement reached are influenced by variables In a tight economy, a union’s push for higher wages is less likely to succeed because it would be inflationary The firm’s representative must consider whether the company can pay an increased wage, given current and expected economic conditions

15-51

Three Types of Bargaining
bargaining Labor and management are in conflict on an issue and the outcome is a win-lose situation bargaining The two sides face a common problem bargaining Something of importance is given back to management

Distributive

Integrative

Concession

15-52

Collective Bargaining
process of negotiating a collective bargaining agreement: Pre-negotiation Selecting negotiators Developing a bargaining strategy Using the best tactics Reaching a formal contractual agreement Ratifying the contract

The

15-53

Prenegotiation
collective bargaining, both sides try to receive concessions that helps them achieve their objectives As soon as a contract is signed, both parties begin preparing for the next collective bargaining session The importance of prenegotiation preparation cannot be over-emphasized types of contract and demographic data is maintained by both unions and management It is also important to check the background of the union negotiators

In

Various

15-54

Selecting the Negotiators

Negotiators

are members of the bargaining teams They represent areas of particular interest in the contact, or have expertise in specific negotiation areas Each side is led by a chief negotiator Management is also represented by at least one line manager, usually the plant manager

15-55

Selecting the Negotiators
management team of negotiators: An HR expert A lawyer A manager or vice president with knowledge of the entire business organization Various experts union team of negotiators: Business agents Shop stewards The local union president Representatives from the national union headquarters

The

The

15-56

Selecting the Negotiators
union team is often elected by union members The chief negotiator may have little input One/more rank-and-file members will be on the team They come from various operating departments to ensure everyone’s concerns are equally represented

The

The

negotiating teams meet independently before the bargaining sessions to plan the best strategy to use This preparation identifies the chief spokesperson and the roles of each member on the team

15-57

Selecting the Negotiators
roles include: Leader, usually the senior team member Summarizer, who summarizes the negotiations to date Recorder, who both keeps notes on the various agreements and observes the opposition team

Specific

Strategy

is the plan and policies that will be pursued at the bargaining table Tactics are actions taken in the bargaining sessions

15-58

Developing a Bargaining Strategy
important issue in strategy is identifying the maximum concessions that will be granted By shifting a position during bargaining, the other side may develop expectations that are hard to change By granting too much, one side may be viewed as weak How far management or the union will go before it risks a work stoppage or lockout is also part of the strategic plan

An

15-59

Developing a Bargaining Strategy
strategy issue is developing the cost profile of the maximum concession package This helps management determine how willing it is to take a strike negotiations are conducted today just as they always have been The two sides sit face-to-face across a table and orally try to reach an agreement A modern change has been the addition of a computer

Another

Most

15-60

Developing a Bargaining Strategy
access to computers can help negotiators: Reduce ambiguity, misunderstandings, and mistrust Track progress Save time between sessions Prepare the final agreement bargaining tools: A contract log An electronic bargaining book (EBB) An article checklist A proposal editor

Having

Computerized

15-61

Using the Best Tactics
are calculated actions used by both parties Tactics are sometimes used to mislead the other party They are also used to secure a favorable agreement tactics: Conflict-based Armed truce Power bargaining Accommodation Cooperation

Tactics

Popular

15-62

Using the Best Tactics
either side fails to bargain in good faith, unfair labor practices can be charged The associated costs, publicity, and hostility are usually too high to disregard of good faith is demonstrated by: Unwillingness to make counter-proposals Constantly changing positions Use of delaying tactics Withdrawing concessions after they have been made Refusal to provide necessary data for negotiations

If

Lack

15-63

Reaching a Formal Agreement
union-management contract designates the formal terms of agreement The average contract lasts for two or more years Contract size ranges from a few pages to more than 100 In general, the contract spells out the authority and responsibilities of both the union and management

The

15-64

Reaching a Formal Agreement
rights appear in one of two forms: A statement that control and operation of the business are the right of management, except in cases specified by the contract A list of management activities that are not subject to sharing with the union

Management

The

union’s rights involve such issues as laying off members, promotion, and transfer The union stresses seniority as a means of reducing discrimination and favoritism in HRM decisions

15-65

Contract Ratification
agreeing on contract language with management: The tentative agreement must be submitted to union members for ratification usually requires a simple majority vote This vote is not a legal requirement, but allows union leadership to affirm their compact with members About 10 percent of all tentative agreements are rejected

After

Ratification

15-66

Failure to Reach Agreement
bargaining impasse occurs when: Labor and management are unable to reach settlement on a mandatory bargaining issue Members refuse to ratify a tentative agreement occur for a number of reasons: The settlement ranges of the parties do not overlap One or both sides failed to communicate enough information to reach settlement The union members feel that union leadership did not bargain in good faith

A

Impasses

15-67

Failure to Reach Agreement

Possible

outcomes of a labor impasse: Work stoppages by either the union (strike) or management (lockout) Seeking the help of a neutral third party Permanent replacements

15-68

Strikes
threat of a strike is a major bargaining weapon used by the union Before striking, the union needs to consider: The legality of striking Members’ willingness to endure a long strike The employer’s ability to operate the organization without union members greater the employer’s ability to operate the organization, the less chance the union has of gaining its demands

The

The

15-69

Strikes
of strikes: Economic Jurisdictional Wildcat Sitdown than 10% of negotiations end in a strike If a union mounts a strike, it often uses picketing

Types

Less

15-70

Strikes
form of union pressure is the boycott Primary boycott: union members do not patronize the boycotted firm (legal) Secondary boycott: a supplier of a boycotted firm is threatened with a union strike unless it stops doing business with the boycotted company (illegal) Hot cargo agreement: the employer permits union members to avoid working with materials that come from employers who have been struck (illegal except in construction and clothing industries)

Another

15-71

Lockouts
response to union pressure: Continue operation with a skeleton crew of managers Shut down the plant Lock the employees out lockout is an effort to force the union to: Stop harassing the employer Accept the conditions set by management are also used to prevent: Work slowdowns Damage to property Violence

Management’s

The

Lockouts

15-72

Lockouts
states allow locked-out employees to draw unemployment benefits This weakens the lockout of a lockout can work against the company’s interests Workers who are locked out cannot be permanently replaced, which is one of management’s most potent anti-labor tools

Many

Imposition

15-73

Permanent Replacements
facing production losses during a strike often resort to replacing missing workers Replacements are terminated as union members return to their jobs National Labor Relations Act does not forbid companies to: Hire replacement workers Make these workers permanent workers can be permanently replaced; locked-out workers cannot

Companies

The

Striking

15-74

Third-Party Intervention
the case of an impasse, three types of third-party interventions are possible: Mediation Fact-finding Interest arbitration parties must agree to any of these solutions Each one is progressively more constraining on the freedom of the parties

In

Both

15-75

Mediation and Fact Finding
mediation, a neutral third party helps labor and management reach agreement It is an inexpensive alternative to strikes Mediation and Conciliation Service (FMCS) Independent agency created by the Taft-Hartley Act Employs approximately 300 mediators They mediate 15,000 labor disagreements per year There is no charge for their services

With

Federal

In

the rail and air industries, mediation services are provided by the National Mediation Board

15-76

Mediation and Fact Finding
is a continuum of techniques that can be used to persuade the parties to resume negotiations Conciliation is the first step The goal is to persuade disputing parties to meet and discuss their problems Conciliation was large annulled when the duty to bargain in good faith was imposed in 1947

Mediation

15-77

Mediation and Fact Finding

A

mediator is a reviewer of facts, a creative facilitator, and a professional listener He/she relies on the power of persuasion to get both parties to settle a dispute Suggestions made by the mediator may be accepted or rejected

15-78

Mediation and Fact Finding
successful mediator has: Impartiality Sincerity Communication skills Persistence Self-control Expertise Creativity Acceptability as a neutral party

A

15-79

Mediation and Fact Finding

In

fact-finding, a neutral third party studies the issues and then recommends a reasonable settlement Both mediation and fact-find help the union and management reach their own agreement

15-80

Interest Arbitration
arbitration is the final technique for resolving an impasse A neutral third party imposes a settlement on the disputing parties arbitration occurs when: No agreement exists or a change is sought The parties have an interest in the outcome because the contract will specify future rights

Interest

Interest

Interest

arbitration is often used to solve impasses in the public sector

15-81

Administering the Contract
compliance with the provisions of the contract is an important responsibility of the supervisor or first-line manager As the representative of management, the supervisor must: Discipline workers Handle grievances Prepare for such actions as strikes

Day-to-day

15-82

Discipline
contracts give management the right to discipline workers, provided that discipline follows legal due process If a worker challenges a disciplinary action, the burden of proof rests with the company It is important to act immediately when an employee breaks rules or performs below standard should not be used if the supervisor has: Failed to make the workplace rules clear Failed to warn the employee

Most

Discipline

15-83

Discipline
union-management contracts specify the types of discipline and the offenses for which corrective action will be taken Typical infractions: Incompetence Misconduct Violations of the contract

Many

15-84

Grievances
grievance is a complaint about an organizational policy, procedure, or managerial practice that creates dissatisfaction or discomforts The complaint may be valid or not It may be made by an individual or by the union union contract contains a clause covering: The steps to be followed to file a grievance How a grievance will be handled number of steps varies from contract to contract

A

The

The

15-85

Grievances
four-step grievance procedure: Step 1: The employee meets with the supervisor and the union steward and presents the grievance Step 2: If the grievance is not settled, there is a conference between middle management and union officials Step 3: A representative of top management and top union officials attempt to settle the grievance Step 4: Both parties turn the grievance over to an arbitrator, who makes a decision

A

15-86

Grievances
principles for managers to follow: Take every grievance seriously Work with the union representative Gather all information available on the grievance After weighing all the facts, provide an answer to the employee voicing the grievance After the grievance is settled, move on to other matters

Important

Grievances

are more likely to be settled favorably when the climate is positive

15-87

Arbitration
grievance procedure doesn’t always result in an acceptable solution When a deadlock occurs, most contracts call for arbitration arbitration the parties submit an irresolvable dispute to a neutral third party for binding settlement Employees may file a lawsuit unless arbitration is specifically required in the arbitration clause

The

With

15-88

Arbitration
for selection of an arbitrator are usually written into the contract The typical arrangement is to use a single impartial arbitrator who hears evidence and renders an award Or, there may be a tripartite board consisting of: A management representative A union representative An impartial chairperson

Procedures

15-89

Arbitration
generally come from three sources: Attorneys who are full-time arbitrators Academics who are experts in labor law, human resources management, and labor economics Respected members of the community award is the decision reached by the arbitrator It conveys the decision, a summary of the evidence, and the rationale for the decision

Arbitrators

The

15-90

Arbitration
arbitrator must examine three issues: Can the dispute be arbitrated? Did the grievance allege an actual violation of the contract? Were the grievance procedures followed in a timely manner?

The

Most

contracts prohibit arbitrators from adding to or subtracting from the intent of the contract

15-91

Arbitration
can be very expensive The average fee for the arbitrator is between $400 and $500 per day, plus travel and study time Both sides usually engage an attorney Employees involved in the complaint must be paid their regular wages during the arbitration process

Arbitration

Costs

are divided equally between management and the union A financially unstable union may be reluctant to become involved in arbitration at all

15-92

The Changing Climate of Unionization
membership increased significantly from 1933 to 1947 In 1933 there were 3 million members By 1947 there were 15 million members in the U.S. peaked in 1955, when 40% of the civilian labor force worked in manufacturing Since the 1960s, membership has steadily decreased By 2010 the early base of unionism will be almost completely eroded

Union

Unionism

15-93

The Changing Climate of Unionization
least five factors are important in the erosion of union power: Increased competition in a global market Shift from manufacturing to an economy based on service, knowledge, and information New waves of immigration Slowing or decreasing demand for union representation Growing size of the contingent labor force

At

15-94

Union Membership Trends
to the AFL-CIO, many unions have begun to reclaim lost ground General attitudes toward unions are improving, especially among adults aged 18-34 Moreover, a significant number of employees surveyed indicated that: Unionized employees were better off than non-unionized employees, and Increased union representation would be good for the U.S.

According

15-95

Union Membership Trends
men have the highest rate of union membership Employees aged 35-64 are more likely to be members Over 1.7 million workers are represented by a union, even though they are not union members

African-American

Median

wages for union members was $781 per

week Nonunion workers earned an average of $612

15-96

Union Membership Trends
are now trying to organize bargaining units outside their traditional industries In 2004, about 7.9% of union members worked in private industry 37.5% of the remainder were government employees Protective services (police officers, firefighters) had the highest proportion of union members Union membership was lowest in finance, insurance, and real estate

Unions

15-97

Global Unionization
International Confederation of Free Trade Unions claims 157 million members in 148 countries Three regional organizations represent Asia, the Pacific, Africa, and the Americas It is also linked to the European Trade Union Confederation U.S. has more unionized workers than any country except China, Russia, and the Ukraine In the U.S., union membership is about 12% China has over 134 million union members

The

The

15-98

Global Unionization
primary functions of Chinese trade unions: Protect the legitimate interests and democratic rights of workers Mobilize workers and staff members to take part in the construction and reform of economic and social development Represent and organize workers and staff members Educate workers and staff members to improve their ideological and moral qualities and raise their scientific and cultural levels

The

15-99

Global Unionization
Europe it is common for union contracts cover even non-union workers The influence of unions is much greater than would be suggested by the total union membership in many countries are more involved in national politics and issues than those in the U.S.

In

Unions

15-100

Union Organizing Trends

To

stop downward membership trends, unions are: Investing heavily in the organizing function Utilizing innovative strategies to attract employees Credit cards, prepaid legal services, term life insurance, and travel clubs Using email and the Internet to disseminate messages

15-101

Union Organizing Trends
are allowed to orally solicit employees during nonwork hours in both work and nonwork areas Employers may prohibit the dissemination of union literature in work area However, an employer cannot ban union literature while allowing other nonwork-related information exchanges

Unions

15-102

Union Organizing Trends
for employers wishing to implement email policies: Prohibit all personal, nonwork communications on the company email system Communicate to employees that the email system and email messages are company property Notify employees that all communication through the company email system may be monitored Require employees to read the policy, sign an acknowledgement of receipt, and agree to adhere to its rules

Suggestions

15-103

Union Organizing Trends
future of U.S. unions depends on these factors: Quality of union leadership Willingness to experiment with organizing techniques Frequent involvement with rank-and-file employees Ability to appeal to better-educated professional, service, and knowledge workers Genuine cooperation with management

The

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