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The previous chapter focused on employee benefits and services—always important when dealing with unions. This chapter starts a new part of the book. The main purpose of this chapter is to provide you with information you’ll need to deal effectively with unions and grievances. After briefly discussing the history of the American labor movement, we describe some basics of labor legislations, including the subject of unfair labor practices. We explain labor negotiations, including the union actions you can expect during the union private election. And we explain what you can expect during the actual bargaining sessions, and how to handle grievances, an activity often called contract administration. In the following chapter, Employee Safety and Health, we’ll turn to the techniques managers use to provide employees with a safe and healthy workplace.
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Instructor’s notes:
There are no right or wrong answers at this point and the questions are meant only to begin the discussion.
The answers to these questions will come over the course of this chapter. It might be interesting to ask if any students belong to unions (e.g., musician’s union) or if their parents do or did and what positive and negative consequences occurred as a result of membership.
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As early as 1790, skilled craftsmen like shoemakers, tailors, and printers organized into trade unions
In 1886, Samuel Gompers formed the American Federation of Labor - AFL
Union membership declined in the 1930’s but hit a high of 21 million in the 1970’s
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It does seem clear that workers don’t unionize just to get more pay or better working conditions, though these are very important. In fact, weekly earnings of union members are much higher than those of nonunion workers: about $50 a week more in service jobs, $60 in manufacturing, $130 in government, and as much as $300 a week more in construction jobs, for instance. Union workers receive significantly more holidays, sick leave, unpaid leave, insurance plan benefits, long-term disability benefits, and various other benefits than do nonunion workers. Yet the urge to unionize often seems to boil down to the belief on the part of workers that it is only through unity that they can get their fair share of the pie and also protect themselves from management whims.
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Studies demonstrate the complexities driving pro-union voting. In one study, it was dissatisfaction with basic bread-and-butter issues like job security and pay, rather than with noneconomic issues like type of work and supervision, that led to pro-union voting (although noneconomic issues were somewhat important, too). Dissatisfied employees must first believe they are without the ability to influence the conditions causing the dissatisfaction. Then enough employees have to believe they could improve things through collective action. Thus, dissatisfied employees who believe the union can help them achieve their goals present a potent combination. Here is how one writer describes the motivation behind the early unionization of automobile workers:
“In the years to come, economic issues would make the headlines when union and management met in negotiations. But in the early years the rate of pay was not the major complaint of the autoworkers. . . . Specifically, the principal grievances of the autoworkers were the speed-up of production and the lack of any kind of job security. As production tapered off, the order in which workers were laid off was determined largely by the whim of foremen and other supervisors. . . . The worker had no way of knowing when he would be laid off, and had no assurance when, or whether, he would be recalled. . . . Generally, what the workers revolted against was the lack of human dignity and individuality, and a working relationship that was massively impersonal, cold, and nonhuman. They wanted to be treated like human beings—not like faceless clockcard numbers.”
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1. Closed shop. The company can hire only union members. Congress outlawed this in 1947, but it still exists in some industries (such as printing).
2. Union shop. The company can hire nonunion people, but they must join the union after a prescribed period of time and pay dues. (If not, they can be fired.)
3. Agency shop. Employees who do not belong to the union still must pay union dues on the assumption that the union’s efforts benefit all the workers.
4. Open shop. It is up to the workers whether or not they join the union—those who do not, do not pay dues.
5. Maintenance of membership arrangement. Employees do not have to belong to the union. However, union members employed by the firm must maintain membership in the union for the contract period.
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The American Federation of Labor and Congress of Industrial Organizations (AFLCIO) is a voluntary federation of about 100 national and international labor unions in the United States. The AFL and CIO merged in 1955, with the AFL’s George Meany as its first president. For many people in the United States, it is synonymous with the word union. About 2.5 million workers belong to unions not affiliated with the AFL-CIO. Of these workers, about half belong to the largest independent union, the United Auto Workers (about 1 million members).
There are three layers in the structure of the AFL-CIO (and other U.S. unions).
First, there is the local union. This is the union the worker joins, and to which he or she pays dues. The local union also usually signs the collective bargaining agreement determining the wages and working conditions. The local is in turn a single chapter in the national union.
The third layer in the structure is the national federation, in this case, the AFL-CIO. This federation is composed of about 100 national and international unions, which in turn are comprised of over 60,000 local unions.