Prepared by

Kenda Murphy, LL.B - KMurphy Consulting and

Mercedes Watson, B.F.A., M.A., C.Med - Thought Department Inc.
 Chapter 13

Future Issues for Workers,

Work Arrangements, Organizations,
and the Industrial Relations System
 Chapter 13 Objectives 13
• At the end of this chapter you should be able to:
 Describe the demographic changes occurring in
the Canadian workplace
 Identify some of the strategies used by unions to address
demographic change
 Understand different forms of new work arrangements
 Explain how unions have responded to new work arrangements
and workplace practices
 Discuss new forms of organizational structures and unions’
response to them
 Identify factors that may influence Canadian industrial relations
in the future
 Changes in Workforce Demographics
13
• Since the mid-1960s, both the Canadian workplace
and workforce have changed significantly
• Demographic changes include wider age range
of workers, more women in the work force, and greater
ethnic and racial diversity
• Canadian unions must prove their relevance and value
to a new generation of workers in a variety of workplaces
 Young Workers 13
• Non-standard work, including part-time, temporary work,
multiple jobs, and self- employment, is prevalent among
young workers -- non-standard work is also called
precarious employment
• Unionization of this group is particularly challenging
because of high turnover, employer resistance to unions,
negative perceptions of unions, union reluctance to
organize, and concerns about employer reprisal
 Young Workers 13
• Young workers are often unfamiliar with unions,
or perceive them unfavourably
• Young workers may be more willing to join unions
if they have had negative experiences in the workplace
 Female Workers 13
• The number of Canadian women in the workforce,
as well as the number of women who are unionized,
has increased steadily over the past few decades
• Women’s representation in unions and in the unionized
workforce is now comparable to men’s
• But unions may be reluctant to organize
female-dominated workplaces
• Women may be less likely to participate in union activity,
which may result in the union’s inability to represent
female members and concerns effectively
 Female Workers 13
• Women leave the workforce and change jobs
with greater frequency than men
• Women also are more likely than men to engage
in part time work, temporary work, and self- employment,
all of which are more difficult to organize
 Older Workers 13
• Older workers are now more likely to participate
in the labour force beyond retirement age
• There are fewer older female workers than older male
workers, although the number of females is rising
• Unionization rates for older workers aged 55 and up are
comparable to unionization rates for workers of all ages
Ethnic and Racial Diversity in the Workforce
13
• Members of visible minority groups participate
in the labour force at approximately the same
participation rate as all Canadians
• Visible minority adults are more likely to have a university
degree than non-minority adults, but tend to have
fewer years of work experience and are less likely
to be employed in higher-paying jobs
• The mismatch between educational level
and occupational level is referred to as underemployment
Ethnic and Racial Diversity in the Workforce
13
• Visible minority workers may have a lower level
of unionization than non-minority workers
• Minorities are more likely to be employed in occupations
that are difficult to organize
• Immigrant workers may come from countries or cultures
where unions are perceived negatively
 13
Union Strategies for Dealing with
the Changing Workforce

• Unions must change to survive and be better able

to represent a broader membership which is unlike
that associated with the stereotypical characteristics
of traditional unionism
• Most national unions have policy statements on equality,
affirmative action, harassmentand violence
• Many collective agreements also contain similar language
• However, these do not always translate into action
at the local level
 13
Union Strategies for Dealing with
the Changing Workforce

• Some unions have “diversity” positions on their executives

• Others have committees and conferences to address
diversity issues
• Some unions are actively targeting young workers
with youth committees and education programs
• Others are deliberately targeting specific demographic
groups in organizing campaigns
Changing Work Arrangements and Practices
13
• Unionism first evolved in response to the
“industrial” model of work
 workers attended work regularly
 Workers performed work determined by the employer
• Many workplaces have changed the location,
scheduling, and structure of work
• This challenges how unions organize
and represent workers
 13
Changing Work Arrangements and Practices:
Work Scheduling

 Flextime
 Compressed work weeks
 Job sharing
• Approximately 15% of Canadian workers have access
to either flextime or a compressed work schedule
• Challenging to organize workers whose hours or days
of work are constantly changing
 13
Changing Work Arrangements and Practices:
Telecommuting

• An employee works partially or completely at home,

and communicates with the workplace or employer
through computers and telephones
• Telecommuting (also know as telework or e-work)
permits a certain degree of freedom as to how
and when work is done
• It contradicts the assumption that employees work
at a centralized workplace where the employer
dictates the conditions and content of work
• Difficult to organize workers not at workplace
 13
Changing Work Arrangements and Practices:
Different Employment Relationships

• Non-permanent employment relationships such

as contract, term or temporary work are more common
• Some unions have negotiated agreements
to balance flexibility with protection of working conditions
(e.g. in film industry)
• But unions have generally been reluctant
to endorse any form of employment that deviates
from full-time wages and benefits
 13
Changing Work Arrangements and Practice:
New Human Resource Management Practices

• Employers are exploring new ways of attracting

and retaining employees
 More career development and training
 “High commitment” practices
 Direct communication and employee “voice”
 Pay more clearly linked to performance
• No indication of how effective these are
• May discourage adversarial employer-employee
relationships
 13
Union Responses to Changing Work
Arrangements and Practices

• Some unions have negotiated agreements

that regulate use of non-traditional work arrangements
• Some unions have negotiated agreements
with balance and flexibility for non-traditional work
• Unions have used technology to reach
“virtual” workers and to disseminate information
• However, many unions reluctant to even suggest
non-traditional work
 Changes in Organizational Structures
13
• Traditionally organizations had power and authority
concentrated at the top
• One of the motivations behind the formation of unions
was dissatisfaction with this structure
• Limitations of traditional organizational structures:
 Do not adapt well to operating in multiple locations
and cultures
 Difficult to adapt to broader product or service offerings
 Top-down communication is slow
 Changes in Organizational Structures
13
• Organizations are exploring other forms of structure:
 The flatter organization: more equitable
distributions of power
 Matrix and network (or web) organizations: lateral
information and decision making authority
• New organizational structures reduce or eliminate
traditional distinctions between employers or managers
and employees
Changes in Organizational Structures
13
 Changes in Organizational Structures
13
• Unions may also have to deal with practical problems
associated with structural change, such as:
 Downsizing: the elimination of jobs or changing
full-time work to part-time work
 Changes in the job content to reflect
new responsibilities or interrelationships
 13
Union Responses to
Changing Organizational Structures

The balancing act for unions:

 Changes to structure sometimes encourages greater
cooperation between worker-employer
 However, control and direction of work remains
with the employer
 So unions still have a role in ensuring that workers’
issues are addressed
─ Canadian Auto Workers were involved in 2009
restructuring of auto industry and made concessions
in exchange for e.g. retaining benefits
─ CAW also signed 2007 “framework of fairness”
agreement with Magna
 Globalization 13
The way that the world once did business is changing:
 Emergence of large multinational organizations
with large amounts of resources
 improved technologies
 better communication and transportation
 increased production capacities
 liberalized trade agreements
 Globalization 13
• Three models explain the possible effects of globalization
on employment relationships
 globalization model
 institutionalist model
 integrated approach
 Globalization 13
Globalization affects unions in Canada because:
 Many workers’ rights taken for granted here do not
exist or are not enforced elsewhere
 Downward spiral of competition for lowest production
costs (race to the bottom)
─ gives no incentive to improve employment conditions
─ encourages banning of employee activity (like
unionizing) that might discourage investment
 Globalization 13
Challenges that unions face related to globalization:
 Difficult to counteract the power of large multinationals
 Difficult to organize across multiple locations
and countries
 Similar problems to that faced in early days
of unionization in Canada
 Different labour laws in different jurisdictions
 Globalization 13
Example of garment industry
 In early 20th century was organized by strong unions
 In early 21st century “sweatshops” have returned
 Price-sensitive market leads to subcontracting
to reduce production costs
─ Imports and international production allows mobility
of work across countries
─ Automation in the workplace has increased production
and reduced worker skills/numbers
Union Responses to Globalization
13
 Lobbying to have employment standards
and labour rights included in trade agreements
 Negotiation of labour standards
between international unions or federations
(“international framework agreements”)
 Partnering with and supporting locally based
unions in other countries
─ Helps improve conditions for all workers
─ May discourage work being moved elsewhere
if no cost advantage
 Addressing economic conditions from globalization
that weaken the union
 13
Factors Influencing the Future
of Industrial Relations in Canada

What happens next?

 Can a system based on an industrial/hierarchical
model of organization continue to be effective?
 Will Canadian unions encounter similar decline seen
in the U.S.?
 Is the Canadian industrial relations system healthy
and will it remain that way?
 Legislation 13
• Canadian labour legislation is largely decentralized
 Helps adapt to varying conditions across country
 But hurts organizing because of need to adapt
to different regions
• Content of laws is also important
 Canadian labour law is more union-friendly than US
and evolves more quickly
 But some provincial governments
have made alterations to labour law that have
discouraged unionization
 Political Influence 13
• Is the varying political success of the NDP a threat
to the future of the labour movement; if so,
where does labour go?
• American unions, like the AFL-CIO, who in 2013 stated
the US labour movement is “in crisis” and will focus
on organizing a stronger working-class
• Some Canadian unions have aligned themselves
with other social activist groups, but this may not
increase their political influence
• The options then appear to be rebuilding the NDP
or seeking labour-friendly non-NDP candidates
 Union Organizing 13
• Canadian union density has not decreased
but neither has it shown any significant increase
• Will Canadian unions pursue a strategy of growth,
or be content to protect their previous gains?
• Examples of growth strategies:
 UNITE-HERE Toronto hotel workers’ union using
“spatial circuit” of union renewal
 BC pulp mill workers forming coalition to purchase
the mill where they work
 Union Organizing 13
• Another example of adaptation: entertainment industry
unions in the U.S.
 aim to achieve standard or national agreements
with major employers
 bargained not only for wages, but for mechanisms
that protect members’ employment prospects
and support skills development
 place a high priority on providing services
to their members
 Copyright 13
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