chapter 3 labor law: background and basic principles

Chapter 3

Labor Law: Background Labor Law: Background and Basic Principlesand Basic Principles

MGMT 523 – Chapter 3

Origin of Labor Relations Law The Constitution

– Article 1, Section 8 of the U.S. Constitution– Amendments

• First Amendment• Fifth Amendment• Fourth Amendment

Common Law Other Sources


Origin of Labor Relations Law (cont’d) Major Federal Labor Relations Laws

– Railway Labor Act

– Norris-La Guardia Act

– Wagner (National Labor Relations) Act

– Taft-Hartley (Labor-Management Relations) Act

– Landrum-Griffin (Labor Management Reporting and Disclosure) Act


Origin of Labor Relations Law (cont’d) Labor Relations Administrative Agencies

– National Labor Relations Board (NLRB)

– Federal Mediation and Conciliation Service (FMCS)

– U.S. Department of Labor (USDOL)

– National Mediation Board (NMB)

– National Railroad Adjustment Board (NRAB)

– State and local administrative agencies


Legal Interpretations (1806-1931) Basis for the Legal System

– Protection of employers’ tangible property rights

– Protection of employers’ intangible rights to do business and make a profit

Criminal Conspiracy Doctrine– Illegal for workers to join together to pressure

employers for better wages or working conditions

Civil Conspiracy Doctrine– Employees who acted in concert could inflict harm

even if the employees’ cause was just


Legal Interpretations (1806-1931) (con’t) Breach of Contract/Use of the Labor

Injunction

– Labor disputes constitute interference in contracts between employers and employees

– Yellow Dog Contracts

– Courts issued labor injunctions to stop the concerted activities of employees


Legal Interpretations (1806-1931) (con’t) Application of Antitrust Legislation

– Sherman Antitrust Act (1890)• Intended to prevent the restraint of trade by

regulating business monopolies

– Danbury Hatters (Loewe v. Lawlor) case• Supreme Court ruled that the labor

organization’s use of the boycott was illegal• Individual union members held liable for

damages


The Norris-La Guardia Act of 1932

Protection of Workers’ Basic Rights– Limited federal courts to issue injunctions for

employees’ lawful non-violence – Yellow-dog contracts unenforceable– Encouraged more impartiality on the part of

the courts in labor disputes Shortcomings

– No regulatory agency designated – No specific unfair labor practices for

employers


The National Labor Relations Act of 1935 Also called the Wagner Act Set national labor policy for labor Encouraged the use of collective bargaining Protected employees’ rights to organization

and representation Established the National Labor Relations

Board (NLRB) Defined the unfair labor practices of

employers


Labor Management Relations Act of 1947 Also called the Taft-Hartley Act

Amended the NLRA to add union unfair labor practices

Set up union security options for states

Allowed unions to be sued by employers


Labor Management Reporting and Disclosure Act of 1959 Also called the Landrum-Griffin Act

Passed to protect union member rights and ensure union democracy

– Required secret-ballot elections of officers

– Required membership approval in setting dues and levying assessments

– Set federal financial reporting requirements

– Allowed neutral, secondary employers injured by unlawful union activities to sue unions


National Labor Relations Board (NLRB)

Functions of the NLRB– Interpret and administer the LMRA

– Responsibilities

Composition of NLRB– Five-Member Panel

– General Counsel


Persons Covered by the LMRA Most private-sector employers and

employees Groups excluded

– Agricultural laborers

– Private domestic service employees

– Individuals covered by the Railway Labor Act

– Individuals employed by parent or spouse

– Public-sector employees

– Independent contractors and supervisors


Concerted and Protected Employee Activity Concerted Activity

– An action taken by or on behalf of two or more employees to express a grievance

Interboro Doctrine– An employee working alone may be

considered to be engaged in concerted activity if seeking to enforce the terms of a collective bargaining agreement


NLRB Unfair Labor Practices

Charging Party Respondent Merit Administrative Law Judge (ALJ) Types of Unfair Labor Practice Cases

– Routine Cases– Lead Cases


Basic Procedures in Cases Involving Charges of ULPs

ChargeCharge

InvestigationInvestigation

Complaint and AnswerComplaint and Answer

Hearing and DecisionHearing and Decision

Remedial OrderRemedial Order

Court Enforcement and ReviewCourt Enforcement and Review

DismissalDismissal Other DispositionOther Disposition

InjunctionInjunction Withdrawal-Refusal to Issue

Complaint-Settlement

Withdrawal-Refusal to Issue

Complaint-SettlementInjunctionInjunction


Remedies in ULP Cases Cease-and-Desist Orders

– Instruct the respondent to stop the ULP– Require respondent to post written notices

of ULP Affirmative Relief Action

– Require the respondent to provide a make-whole remedy to individuals adversely affected by the ULP


Federal Courts and ULP Decisions

Courts must enforce decision if:– The decision is a reasonable interpretation

of congressional intent for the LMRA– The decision is supported by substantial

evidence contained in the case record. Petition for Certiorari

– A court of appeals’ decision appealed to the Supreme Court when lower court decisions conflict with each other


Current Labor Policy Favors the powerful (employers) over

the powerless (employees) Discourages unionism through foot-

dragging Offers insufficient statutory remedies Is grossly outdated Laws protecting individuals have

usurped the role of collective bargaining


Transportation-Related Labor Relations Laws Railway Labor Act of 1926

– First comprehensive collective bargaining law

Airline Deregulation Act of 1978– Ended government regulation of fares and

routes Staggers Rail Act of 1980

– Increased flexibility in setting rates and service levels


Other Laws Affecting Labor Relations ADA of 1990 The Bankruptcy Act of 1984 The WARN of 1988 RICCO Act of 1970


Employment Discrimination Laws and Executive Orders Civil Rights Act of 1991 ADEA of 1967 Executive Orders

– 11246 – 11375


Related Labor Relations Laws

Vocational Rehabilitation Act of 1973 USSERA of 1994 Social Security Act of 1935 FLSA of 1938 ERISA of 1974 OSHA of 1970 FMLA of 1993

chapter 3 labor law: background and basic principles

Documents

labor law

labor injunctions

labor organizations

labor management relations

national labor policy

labor disputes shortcomings

union unfair labor practices

disclosure act slide