Intro to Business

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National Labor Relations Act

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Intro to Business

Definition

The National Labor Relations Act is a U.S. federal law that governs private sector labor-management relations, including the right of private sector employees to organize into trade unions, engage in collective bargaining, and take collective action such as strikes. It is a key piece of legislation that defines and protects the rights of private sector employees and employers in labor relations.

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5 Must Know Facts For Your Next Test

  1. The National Labor Relations Act was enacted in 1935 to protect the rights of private sector employees to join together, with or without a union, to improve their wages and working conditions.
  2. The Act establishes the right of employees to form, join, or assist labor organizations, to bargain collectively through representatives of their own choosing, and to strike and picket.
  3. The Act prohibits employers from interfering with, restraining, or coercing employees in the exercise of their rights, and from engaging in unfair labor practices.
  4. The National Labor Relations Board (NLRB) is the federal agency responsible for enforcing the Act, including investigating and resolving disputes between employers, employees, and unions.
  5. The Act applies to most private sector employers, with some exceptions such as airlines, railroads, and government employers, which are covered by separate labor laws.

Review Questions

  • Explain how the National Labor Relations Act relates to the labor relations process in an organization.
    • The National Labor Relations Act is a foundational piece of legislation that governs the labor relations process in private sector organizations. It establishes the rights of employees to organize, collectively bargain, and take collective action, while also prohibiting employers from interfering with these rights. The Act sets the legal framework for how employers and employees or their representatives (such as unions) interact and negotiate the terms and conditions of employment, making it a critical component of the overall labor relations process.
  • Describe how the National Labor Relations Act impacts the management of grievances and conflicts in labor relations.
    • The National Labor Relations Act provides a legal mechanism for employees to address grievances and resolve conflicts with their employers. The Act protects the right of employees to file grievances and engage in collective bargaining to address workplace issues. It also prohibits employers from retaliating against employees for exercising these rights. Additionally, the National Labor Relations Board, established by the Act, serves as an impartial arbiter in disputes between employers, employees, and unions, helping to manage and resolve conflicts through investigation, mediation, and adjudication.
  • Analyze how the legal environment created by the National Labor Relations Act influences human resources and labor relations practices within an organization.
    • The National Labor Relations Act sets the legal parameters for human resources and labor relations practices in private sector organizations. It requires employers to bargain in good faith with employee representatives, such as unions, and prohibits certain actions, such as interfering with employee rights or engaging in unfair labor practices. This legal framework shapes how organizations approach issues like collective bargaining, grievance procedures, and employee discipline, as they must align their policies and practices with the protections and requirements outlined in the Act. Failure to comply can result in legal action and penalties, making the National Labor Relations Act a critical consideration in the overall management of human resources and labor relations within an organization.
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