THE EVOLUTION OF LABOR UNIONS

1
THE EVOLUTION OF LABOR UNIONS
2
Chapter Objectives

• Describe the partnering of labor and management
  that is evolving in some sectors.
• Describe the labor movement prior to 1930.
• Identify the major labor legislation that was
  passed after 1930.
• Explain unionization in the public sector.

3
Chapter Objectives (Continued)

• Describe the broad objectives characterizing the
  labor movement as a whole.
• Describe union growth strategies.
• Explain the reasons why employees join unions.
• Describe the basic structure of the union.

4
Chapter Objectives (Continued)

• Identify the steps involved in establishing the
  collective bargaining relationship.
• Explain union strategies in obtaining bargaining
  unit recognition.
• Explain union decertification.
• Describe the state of unions today.

5
The Labor Movement Before 1930

• Has been neither simple nor straightforward
• Evolution of American society from agrarian to
  industrial economy
• Trends favored management
• English common law basis
• Conspiracy two or more people banded together
  to prejudice rights of others or society
• How union activity was viewed at that time

6
The Labor Movement Before 1930 (Continued)

• Injunction legal procedures used by employers
  to prevent union activities, such as strikes and
  unionization activities
• Yellow-dog contract written agreement between
  employee and company prohibiting worker from
  joining a union or union activities

7
The Labor Movement Before 1930 (Continued)

• Noble Order of the Knights of Labor founded as
  a secret society in 1869 nucleus became American
  Federation of Labor (AFL)
• Samuel Gompers
• Sherman Anti-Trust Act (1890) entrance of
  federal government into statutory regulation of
  labor organizations the first and foremost labor
  legislation in modern US history
• Trust-busting, aimed at preventing business
  monopolies

8
The Labor Movement After 1930

• Swing from management toward labor
• Anti-Injunction Act (Norris-Laguardia Act) of
  1932 rendered yellow dog contracts
  unenforceable
• National Labor Relations Act (Wagner Act or NLRA)
  of 1935 ratified in Congress in 1937, still
  highly influential today
• Labor Management Act (Taft-Hartley Act or LMRA)
  of 1947 - amended the Wagner Act and sought to
  rebalance power between labor and the employer
  for the first time, created union unfair labor
  practices
• Labor-Management Reporting and Disclosure Act
  (Landrum-Griffin Act) 1959 Precipitated by
  Congressional hearings on corruption in labor
  unions, and compelled strong self-policing and
  oversight of union activities
• Homeland Security Act of 2002

9
Anti-Injunction Act (Norris-Laguardia Act) of 1932

• Sanctions collective bargaining
• Approves formation and operation of labor unions
• Severely restricted federal courts authority
  regarding labor disputes
• Made yellow-dog contracts unenforceable

10
National Labor Relations Act (Wagner Act) of 1935

• National Labor Relations Board (NLRB) created
• Establish procedures for and monitoring of
  elections
• Gives employees the right to join and form unions
• Delineated employer unfair labor practices
• Gives properly certified labor organizations
  exclusive representation of all employees in the
  bargaining unit
• Investigate complaints and prevent unlawful acts
  involving unfair labor practices by management

11
Labor Management Relations Act (Taft-Hartley Act)
of 1947

• Extended concept of unfair labor practices to
  unions created six specific union ULPs
• Outlawed the closed shop which required
  membership in the representing union to be hired
• Permitted states to enact right-to-work laws
• Government intervention in national emergency
  strikes
• Air traffic controllers during the Reagan
  administration

12
Labor-Management Reporting and Disclosure Act
(Landrum-Griffin Act) -- 1959

• Bill of rights for union members, including
  secret ballots, guaranteed due process in
  internal union discipline matters, and allowed
  members to sue unions
• Requires unions to adopt constitutions, bylaws,
  and to file annual financial reports
• Requires periodic union election of officers
  using secret ballots
• Requires extensive reporting on internal union
  activities
• Severe penalties for violations

13
Homeland Security Act of 2002

• New cabinet-level agency responsible for border
  security, emergency preparedness, biological
  warfare, intelligence analysis, and protection of
  the President
• President can waive Civil Service collective
  bargaining rights if direct negotiations with the
  union fail and the federal mediation service is
  unable to resolve
• Cabinet-level leadership

14
The Public Sector

• Executive Order 10988 in 1962
• Established collective bargaining in federal
  government

15
Employee Associations

• Many employee associations pursuing collective
  bargaining relationships

16
Union Objectives

• Growth to maximize effectiveness, union needs
  continual growth
• Power influenced by size of membership and
  possibility of future growth

17
Union Growth Strategies

• Pulling the union through
• Political involvement
• Union salting
• Flooding communities with organizers
• Political awareness campaigns
• Building organizing funds
• Cyberunion
• Befriending laid-off workers

18
Why Employees Join Unions

• Dissatisfaction with management
• Social outlet
• Opportunity for leadership
• Forced unionization
• Peer pressure

19
Dissatisfaction with Management

• Compensation
• Job Security
• Management Attitude

20
Union Structure

• Local union
• National (or international) union
• American Federation of Labor and Congress of
  Industrial Organizations (AFL-CIO)

21
Local Union

• Basic unit in American labor movement
• Deals with employer on day-to-day basis
• Craft union
• Industrial union

22
National (or International) Union

• Most powerful level in union structure
• Composed of local unions
• Holds membership in national union
• Governed by national constitution
• Meets every two to five years
• Active in organizing workers
• Engaged in collective bargaining at national
  level
• Assists locals in their negotiations

23
American Federation of Labor and Congress of
Industrial Organizations (AFL-CIO)

• Federation of 68 national and international labor
  unions
• Represents 13 million members
• Represents labor interests at highest level
• Does not engage in collective bargaining
• Financed by member national unions
• Governed by national convention

24
The Structure of the AFL-CIO
Convention Meets biennially
Executive Council President,
Secretary-Treasurer, and 33 Vice Presidents
Meets at least three times a year
General Board Executive Council members
and principal officer of each international union
affiliate Meets on call of Federation
President or Executive Council
Executive Officers President and
Secretary-Treasurer
National Headquarters
Department or Organization and Field Services
Standing Committees
Staff Departments
Regional Directors
Trade and Industrial Departments Building, Food,
Metal, and Maritime Trades, Industrial Union,
Public and Railway Employees, Union Label
Affiliated National and International Unions
Affiliated State Bodies
Local Unions of National and International Unions
Local Bodies
Local unions affiliated directly with AFL-CIO
Local Dept. Councils
25
Establishing the Collective Bargaining
Relationship Union Certification

• Bargaining unit consists of employees (not
  necessarily union members) recognized by employer
  or certified by administrative agency as
  appropriate for representation by labor
  organization for purposes of collective bargaining

26
The Steps That Lead to Forming a Bargaining Unit
External EnvironmentInternal
Environment
Signing of Authorization Cards
Petition for Election
Election Campaign
Election and Certification
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Signing Authorization Cards

• A document indicating employee wants to be
  represented by labor organization in collective
  bargaining
• Is there sufficient interest on the part of
  employees to justify the unit?
• Evidence of interest when at least 30 of
  employees in workgroup sign authorization cards
• Usually need 50 to proceed

28
Petition for Election

• After authorization cards have been signed,
  petition for election made to regional NLRB
  office
• NLRB will ordinarily direct that an election be
  held within 30 days

29
Election Campaign

• Both union and management usually promote their
  causes actively
• Threaten loss of jobs or benefits
• Misstate important facts
• Incite racial or religious prejudice

30
Election and Certification

• NLRB monitors secret-ballot election on date set
• Board will issue certification of results to
  participants
• If majority of employees vote for union, NLRB
  will certify
• Process does not require either party to make
  concessions it only compels them to bargain in
  good faith

31
Union Strategies in Obtaining Bargaining Unit
Recognition

• Try to make first move
• Search for groups of employees to organize
• Attempts to locate general patterns of
  dissatisfaction
• Must, ultimately, abandon secret activities
• Utilize peer pressure to encourage and expand
  unionization

32
Union Decertification

• Essentially the reverse of the process that
  employees must follow to be recognized as an
  official bargaining unit
• Employees have used decertification petitions
  with increasing frequency and success

33
Decertification Procedure

• Rules established by NLRB
• At least 30 must petition for election
• Petition submitted 60-90 days prior to expiration
  of current contract
• Schedule decertification election
• If majority of votes against union, employees
  will be union free

34
Management and Decertification

• If management wants union decertified, must be
  active rather than passive
• Effective first-line supervisors
• Effective communication
• Trust and openness
• Effective compensation programs
• Effective employee and labor relations

35
Unions Today

• Fall of Big Labor since 1970s has been dramatic
• Unionized share of private sector workforce is 9
  percent

36
Percentage of the Private Workforce That is
Unionized
Percentage of Workforce
40
40
30
30
20
20
10
10
9
0
0
1950
1955
1960
1965
1970
1975
1980
1985
1994
1996
2002
Year