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Chap 12a dealing with employee management issues and relationships

Chapter Twelve

Dealing with Employee-Management Issues and Relationships

McGraw-Hill/Irwin

Copyright © 2010 by the McGraw-Hill Companies, Inc. All rights reserved.


ORGANIZED LABOR



Unions -- Employee organizations whose main goal is to represent members in employeemanagement negotiations of job-related issues.



Labor unions were responsible for:

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Minimum wage laws
Overtime rules
Workers’ compensation
Severance pay
Child-labor laws
Job-safety regulations

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PUBLIC SECTOR
LABOR UNIONS



Public sector union members work for governments as teachers, firefighters, police
officers, etc.



Many states face serious debt problems and want to cut labor costs. But states with
public sector unions have limited ability to cut those costs.

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GOALS of ORGANIZED LABOR



To work with fair and competent
management.



To be treated with human dignity.



To receive a reasonable share of


wealth in the work it generates.

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Labor Union History

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HISTORY of
ORGANIZED LABOR



Craft Union -- An organization of skilled specialists in a particular craft or trade.



As early as 1792, shoemakers in a Philadelphia craft union met to discuss
fundamental work issues.



Work weeks were 60+ hours, wages were low
and child labor was rampant.

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EMERGENCE of LABOR ORGANIZATIONS



Knights of Labor -- First national labor union; formed in 1869.



Knights attracted close to 800,000 members but fell from
prominence after a riot in Chicago.



American Federation of Labor (AFL) -- An organization of
craft unions that championed fundamental labor issues; formed in
1886.

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INDUSTRIAL UNIONS



Industrial Unions -- Labor unions of unskilled or semiskilled workers
in mass production industries.



Congress of Industrial Organizations (CIO) -- Union organization
of unskilled workers; broke away from the AFL in 1935 and rejoined in
1955.



The AFL-CIO today has affiliations with 56 unions and about
12.2million members.

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Labor Legislation

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EFFECTS of LAWS on
LABOR UNIONS



Labor unions’ growth and influence has been very dependent on public opinion and
law.

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EFFECTS of LAWS on
LABOR UNIONS

Pro-Labor Legislation

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EFFECTS of LAWS on
LABOR UNIONS
Norris-La Guardia Act
Paved way for union growth



The Norris-LaGuardia Act helped unions by
prohibiting the use of Yellow-Dog Contracts -- A type
of contract that required employees to agree to NOT
join a union.

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EFFECTS of LAWS on
LABOR UNIONS
National Labor Relations Act (NLRA)
Wagner Act
Legal justification for union activities
Collective Bargaining
National Labor Relations Board
Certification and Decertification

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EFFECTS of LAWS on
LABOR UNIONS



Collective Bargaining -- The process whereby union and management representatives
form an agreement, or contract, for employees.

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FORMING a UNION
in the WORKPLACE



The National Labor Relations Board (NLRB) was created to oversee labormanagement issues and provide guidelines for unionization.

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FORMING a UNION
in the WORKPLACE



Certification -- The formal process by which a union is recognized by the NLRB as the
bargaining agent for a group of employees.



Decertification -- The process whereby employees take away a union’s right to represent
them.

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EFFECTS of LAWS on
LABOR UNIONS

Pro-Management Legislation

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EFFECTS of LAWS on
LABOR UNIONS

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

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LABOR/MANAGEMENT
AGREEMENTS



Union Security Clause -- Stipulates workers who reap union benefits must either join the
union or pay dues to the union.

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UNION SECURITY AGREEMENTS



Closed Shop Agreement -- Specified workers had to be members of a union before
being hired for a job.

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UNION SECURITY AGREEMENTS



Union Shop Agreement -- Declares workers don’t have to be members of a union to be
hired but must agree to join the union within a specific time period.
However…

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UNION SECURITY AGREEMENTS

The Taft-Hartley Act also granted states the power to outlaw union shop agreements.

This led to the creation of the Agency Shop Agreement

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UNION SECURITY AGREEMENTS



Agency Shop Agreement -- Allows employers to hire nonunion workers who don’t have
to join the union, but must pay fees.

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UNION SECURITY AGREEMENTS

Also,

because the Taft-Hartley Act granted states the power to outlaw union shop
agreements, some states passed…

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RIGHT-to-WORK LAWS



Right-to-Work Laws -- Legislation that gives workers the right, under an open shop, to
join or not to join a union,

which created the…



Open Shop Agreement -- Agreement in right-to-work states that gives workers the right to
join or not join a union, if one exists in their workplace.

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