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Chapter

13Union Representationand Collective Bargaining


Factors in Recent Loss of Union PowerFactors in Recent Loss of Union Power

Global competition Nonunion domestic competition Deregulation The growth of service industries Corporate downsizing (depleted membership) Willingness of firms to move operations overseas


Deregulation of Product MarketsDeregulation of Product Markets

Two key challenges created by the deregulation of product markets Market entry is easier Low operating costs translate into competitive advantages

Adaptations necessary for firms to compete: Ability to shift rapidly Cut costs Innovate Enter new markets Devise a flexible labor-force strategy


Six Fundamental Features of the Six Fundamental Features of the U.S. Industrial Relations SystemU.S. Industrial Relations System

Exclusive representation – one and only one union

in a given job territory Collective agreements that embody a sharp distinction between

negotiation of and interpretation of an agreement Decentralized collective bargaining Relatively high union dues and large union staffs Opposition by both large and small employers to union

organization The role of government


Unfair Labor Practices Under the Taft-Hartley Unfair Labor Practices Under the Taft-Hartley Act of 1947Act of 1947

By Management: Interference with, coercion of, or restraint of employees in their right

to organize Domination of, interference with, or illegal assistance of a labor

organization Discrimination in employment because of union activities Discrimination because an employee has filed charges or given

testimony under the act Refusal to bargain in good faith “Hot cargo” agreements: refusals to handle another employer’s

products because of that employer’s relationship with the union


Unfair Labor Practices Under the Taft-Hartley Unfair Labor Practices Under the Taft-Hartley Act of 1947Act of 1947

By a Union: Restraint or coercion of employees not participating in union activities Any attempt to influence an employer to discriminate against an

employee Refusal to bargain in good faith Excessive, discriminatory membership fees Make-work or featherbedding provisions in labor contracts that require

employers to pay for services that are not performed Use of pickets to force an organization to bargain with a union, when

the organization already has a lawfully recognized union “Hot cargo” agreements: refusals to handle, use, sell, transport, or

otherwise deal in another employer’s products


Landrum-Griffin Act of 1959Landrum-Griffin Act of 1959

It’s an amendment to the Taft-Hartley Act of 1947 It added the secondary boycott as an unfair labor practice:

A union appeals to firms and other unions to stop doing business with an employer who sells or handles a struck product


Rules for Union Organizing ActivityRules for Union Organizing Activity

Well-defined rules govern organizing activities Employee organizers may solicit fellow employees to sign

authorization cards on company premises, but not during working time Outside organizers may not solicit on premises if a company has an

existing policy of prohibiting all forms of solicitation, and if that policy has been enforced consistently

Management representatives may express their views about unions through speeches to employees on company premises. However, they are legally prohibited from interfering with an employee’s freedom of choice concerning union membership


Management Responses Management Responses to the Union Campaignto the Union Campaign

Tactical Advantages: May use company time and premises to stress the positive aspects of

the current situation May emphasize the costs of unionization and the loss of individual

freedom that may result from collective representation TIPS – management may not threaten, interrogate, promise, or spy


Themes Emphasized by Unions Themes Emphasized by Unions During Organizing CampaignsDuring Organizing Campaigns

Ability to help employees satisfy their economic and personal needs

Ability to ensure that workers are treated fairly Ability to improve working conditions


Types of StrikesTypes of Strikes

Unfair-Labor-Practice Strikes Employees given highest degree of protection under the Taft-Hartley

Act Under most circumstances, employees are entitled to reinstatement

once the strike ends Management must exercise great caution

NLRB may become involved Company liability may be substantial

Economic Strikes Strikers have limited rights to reinstatement


Types of StrikesTypes of Strikes

Unprotected Strikes Includes all remaining types of work stoppages, both lawful and

unlawful Employees may be discharged by their employers

Sympathy Strikes The refusal by employees of one bargaining unit to cross a picket line

of a different bargaining unit


Third-Party InvolvementThird-Party Involvement

Mediation A process by which a neutral third party attempts to help the parties in

a dispute to reach a settlement of the issues that divide them Fact Finding

Each party submits whatever information it believes is relevant to a resolution of the dispute; a neutral fact finder then makes a study of the evidence and prepares a report on the facts

Interest Arbitration A process by which a third party hears the positions of both parties and

decides on binding settlement terms


Grievance ProceduresGrievance Procedures

Grievance Procedures – the keystone of industrial relations because of their ability to resolve disputed issues while work continues without litigation, strikes, or other radical dispute-resolution strategies Advantages

Ensures that the complaints and problems of workers can be heard, rather than simply allowed to fester

Formal mechanism to ensure due process for all parties

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