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Labor Relations & Collective
Bargaining
Ingrid G. Hoskins
12/9/2016Property Of Ingrid G. Hoskins
Labor Union & Labor Relations
 Labor Union: An organization representing the collective interests of workers
 Labor Relations: the dealings that result from interactions between a labor union and an
employer
 Most employees are not organized into labor unions
 The possibility of employees organizing into unions make it even more vital that labor relations
are positive in an organization
12/9/2016Property Of Ingrid G. Hoskins
Task of a Labor Relations Employee
 Employee and labor relations: a human resource role that is concerned with building and
maintaining good relations with employees and labor unions
 Relationships between unions and employers can often times with adversarial
 Each side hopes to achieve what is best for their union or business
 This can cause issues
 By working together to improve overall productivity and customer service an organization can
achieve success and have happy employees
12/9/2016Property Of Ingrid G. Hoskins
Unions
 A primary objective of a labor union is to provide security and long-term employment for its
members
 Powerful labor unions can make it difficult for organizations to let employees go
 Unions encourage organizations to provide workers with training and better develop
employment skills
 Unions tend to oppose workers taking additional work without additional assistance
 Unions work best with organizations that can provide long-term worker relations
12/9/2016Property Of Ingrid G. Hoskins
Unions
 A main objective for unions is to secure fair wages and benefits for all workers
 This reduces pay differences for employees at different skill sets
 The gap between high performing and low performing employees is not as high within
unionized organizations
 Unions, thus, create equal opportunities among workers
12/9/2016Property Of Ingrid G. Hoskins
Unionized Organizations
 These organizations tend to invest less profits into business because of the higher percentage of
profits going to employees (higher wages)
 They spend less time on research and development
 An issue for organizations wishing to innovate and create different products for the market
 This reduction in innovation is not universal
 Germany is an example of equal pay into business and employees
 Research suggests being committed to long term employment can still reduce innovation
12/9/2016Property Of Ingrid G. Hoskins
National Labor Relations Board
 Created by the Wagner Act
 Board is to enforce the Wagner Act
 Members of board are appointed by the president, Senate approves, serve 5 year terms
 A General Counsel serves as a prosecutor, the NLRB the judge
 First purpose of NLRB: organize and oversee employee elections that determine if a union is to
be formed
 Second purpose of NLRB: investigate allegations of wrongful labor practices, provide remedies (if
needed)
12/9/2016Property Of Ingrid G. Hoskins
Wagner Act
 Federal law passed in 1935, created the NLRB
 Provides employees with the right to organize
 Formal name: the National Labor Relations Act
 Pro-union legislation
 Gives unions the right to organize employees
 Prohibits businesses from retaliating against employees that wish to unionize
 Requires business to good faith bargaining with unions
12/9/2016Property Of Ingrid G. Hoskins
Taft-Hartley Act
 Labor Unions were fast to form following the Wagner Act
 Organizations felt that the Wagner Act was too union focused
 1947, Labor-Management Relations Act, shifted power toward management by creating a list of
unfair labor practiced for unions
 Prohibits labor unions from coercing employees to join and requires unions to bargain in good
faith
 Procedures for removing a union after it is established
12/9/2016Property Of Ingrid G. Hoskins
Illegal Union Practices under Taft-Hartley
 Secondary Boycott: occurs when a labor union pressures other businesses to stop purchasing
services and goods from another business based on disputes
 “Featherbedding:” when a union requires a business organization to pay employees wages, yet
employees are not performing services
 Closed shops: hires only individuals who are members of a particular union
 Right to work: state laws that require open-shop labor agreements
 Open shops: does not require employees to have any relationship with the union in question
 Unions do not like right to work laws; unions provide benefits if members pay, open shop is basically
“a free ride.”
12/9/2016Property Of Ingrid G. Hoskins
Source
Human Resource Management, 2011. Greg L. Stewart & Kenneth G. Brown. (Wiley)
12/9/2016Property Of Ingrid G. Hoskins

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Labor Relations & Collective Bargaining

  • 1. Labor Relations & Collective Bargaining Ingrid G. Hoskins 12/9/2016Property Of Ingrid G. Hoskins
  • 2. Labor Union & Labor Relations  Labor Union: An organization representing the collective interests of workers  Labor Relations: the dealings that result from interactions between a labor union and an employer  Most employees are not organized into labor unions  The possibility of employees organizing into unions make it even more vital that labor relations are positive in an organization 12/9/2016Property Of Ingrid G. Hoskins
  • 3. Task of a Labor Relations Employee  Employee and labor relations: a human resource role that is concerned with building and maintaining good relations with employees and labor unions  Relationships between unions and employers can often times with adversarial  Each side hopes to achieve what is best for their union or business  This can cause issues  By working together to improve overall productivity and customer service an organization can achieve success and have happy employees 12/9/2016Property Of Ingrid G. Hoskins
  • 4. Unions  A primary objective of a labor union is to provide security and long-term employment for its members  Powerful labor unions can make it difficult for organizations to let employees go  Unions encourage organizations to provide workers with training and better develop employment skills  Unions tend to oppose workers taking additional work without additional assistance  Unions work best with organizations that can provide long-term worker relations 12/9/2016Property Of Ingrid G. Hoskins
  • 5. Unions  A main objective for unions is to secure fair wages and benefits for all workers  This reduces pay differences for employees at different skill sets  The gap between high performing and low performing employees is not as high within unionized organizations  Unions, thus, create equal opportunities among workers 12/9/2016Property Of Ingrid G. Hoskins
  • 6. Unionized Organizations  These organizations tend to invest less profits into business because of the higher percentage of profits going to employees (higher wages)  They spend less time on research and development  An issue for organizations wishing to innovate and create different products for the market  This reduction in innovation is not universal  Germany is an example of equal pay into business and employees  Research suggests being committed to long term employment can still reduce innovation 12/9/2016Property Of Ingrid G. Hoskins
  • 7. National Labor Relations Board  Created by the Wagner Act  Board is to enforce the Wagner Act  Members of board are appointed by the president, Senate approves, serve 5 year terms  A General Counsel serves as a prosecutor, the NLRB the judge  First purpose of NLRB: organize and oversee employee elections that determine if a union is to be formed  Second purpose of NLRB: investigate allegations of wrongful labor practices, provide remedies (if needed) 12/9/2016Property Of Ingrid G. Hoskins
  • 8. Wagner Act  Federal law passed in 1935, created the NLRB  Provides employees with the right to organize  Formal name: the National Labor Relations Act  Pro-union legislation  Gives unions the right to organize employees  Prohibits businesses from retaliating against employees that wish to unionize  Requires business to good faith bargaining with unions 12/9/2016Property Of Ingrid G. Hoskins
  • 9. Taft-Hartley Act  Labor Unions were fast to form following the Wagner Act  Organizations felt that the Wagner Act was too union focused  1947, Labor-Management Relations Act, shifted power toward management by creating a list of unfair labor practiced for unions  Prohibits labor unions from coercing employees to join and requires unions to bargain in good faith  Procedures for removing a union after it is established 12/9/2016Property Of Ingrid G. Hoskins
  • 10. Illegal Union Practices under Taft-Hartley  Secondary Boycott: occurs when a labor union pressures other businesses to stop purchasing services and goods from another business based on disputes  “Featherbedding:” when a union requires a business organization to pay employees wages, yet employees are not performing services  Closed shops: hires only individuals who are members of a particular union  Right to work: state laws that require open-shop labor agreements  Open shops: does not require employees to have any relationship with the union in question  Unions do not like right to work laws; unions provide benefits if members pay, open shop is basically “a free ride.” 12/9/2016Property Of Ingrid G. Hoskins
  • 11. Source Human Resource Management, 2011. Greg L. Stewart & Kenneth G. Brown. (Wiley) 12/9/2016Property Of Ingrid G. Hoskins