Glossary

emerged as a response to poor working conditions during the Industrial Revolution. Unions advocate for better wages, safety, and fair treatment. The legal framework for unions includes the and .

Unions have a complex structure, from local to national levels. They engage in , use strategies like and lobbying, and face challenges from employer resistance. Unions impact wages, , and productivity, but face declining membership and pressures.

History of unionization

  • Unions emerged in the late 18th century as a response to poor working conditions and low wages during the Industrial Revolution
  • Early unions focused on improving worker safety, reducing long work hours, and advocating for fair compensation
  • The growth of unions in the United States accelerated in the early 20th century, with the formation of the (AFL) and the (CIO)

National Labor Relations Act

Top images from around the web for National Labor Relations Act

  • Male picketers on strike march with signs that support uni… | Flickr View original

    Is this image relevant?

  • The Labor Relations Process | OpenStax Intro to Business View original

    Is this image relevant?

  • Male picketers on strike march with signs that support uni… | Flickr View original

    Is this image relevant?

1 of 3

Top images from around the web for National Labor Relations Act

  • Male picketers on strike march with signs that support uni… | Flickr View original

    Is this image relevant?

  • The Labor Relations Process | OpenStax Intro to Business View original

    Is this image relevant?

  • Male picketers on strike march with signs that support uni… | Flickr View original

    Is this image relevant?

1 of 3
  • Enacted in 1935, the NLRA (also known as the Wagner Act) established the right of workers to organize, form unions, and engage in collective bargaining
  • Created the National Labor Relations Board (NLRB) to oversee union elections and investigate
  • Prohibited employers from interfering with, restraining, or coercing employees in the exercise of their rights to organize and bargain collectively

Right-to-work laws

  • State laws that prohibit union security agreements, which require employees to join a union or pay union dues as a condition of employment
  • Currently, 27 states have right-to-work laws, which can weaken unions by reducing their financial resources and bargaining power
  • Proponents argue that these laws protect workers' freedom of association, while critics claim they lead to lower

Union structure and governance

Local vs national unions

  • Local unions are the basic building blocks of the labor movement, representing workers in a specific workplace, industry, or geographic area
  • National unions (also called international unions) are larger organizations that coordinate the activities of local unions in the same industry or occupation
  • Local unions are affiliated with national unions and pay dues to support their activities, such as lobbying, organizing, and strike funds

Union leadership and elections

  • Union officers, such as presidents, vice presidents, and treasurers, are elected by union members to represent their interests and manage the organization
  • Elections are typically held every few years, with candidates campaigning on issues such as contract negotiations, grievance handling, and political advocacy
  • Union leaders are responsible for setting the strategic direction of the union, communicating with members, and building alliances with other organizations

Collective bargaining process

Negotiating contracts and agreements

  • Collective bargaining is the process by which unions and employers negotiate the terms and conditions of employment, such as wages, benefits, and working conditions
  • Union representatives (usually elected by members) and management representatives engage in a series of meetings to discuss proposals and counterproposals
  • The goal is to reach a mutually acceptable agreement, which is then ratified by union members and becomes a legally binding contract

Grievance procedures and arbitration

  • Grievance procedures are a formal process for resolving disputes between employees and management over the interpretation or application of the collective bargaining agreement
  • Employees or union representatives file grievances when they believe the contract has been violated, and the issue is addressed through a series of steps (e.g., discussions with supervisors, mediation)
  • If the grievance cannot be resolved internally, it may be submitted to , where a neutral third party (an arbitrator) hears both sides and makes a binding decision

Union strategies and tactics

Strikes and work stoppages

  • A strike is a collective action by workers to stop working in order to put pressure on their employer to meet their demands
  • Strikes can be a powerful tool for unions to gain leverage in contract negotiations or to protest unfair labor practices
  • However, strikes can also be costly for both workers (who lose wages) and employers (who lose productivity), and may damage public opinion if they disrupt essential services

Picketing and boycotts

  • involves union members and supporters marching or standing outside a workplace to publicize a dispute and persuade others to support their cause
  • are a tactic where unions encourage consumers to refrain from purchasing a company's products or services to put economic pressure on the employer
  • Secondary boycotts (targeting a company that does business with the employer in dispute) are generally prohibited by the NLRA

Political lobbying and advocacy

  • Unions engage in political activities to support candidates and legislation that advance workers' interests, such as minimum wage increases, workplace safety regulations, and anti-discrimination laws
  • Unions may endorse candidates, mobilize members to vote, and contribute to political campaigns through political action committees (PACs)
  • Unions also lobby elected officials and government agencies to influence public policy and regulatory decisions that affect workers and their families

Employer responses to unionization

Union avoidance strategies

  • Some employers actively resist unionization efforts through legal and illegal tactics, such as hiring anti-union consultants, holding captive audience meetings, and discriminating against union supporters
  • Employers may also try to preempt unionization by improving wages and benefits, enhancing communication with employees, and addressing workplace issues proactively
  • Other strategies include outsourcing work to non-union contractors, relocating operations to right-to-work states, or closing unionized facilities

Unfair labor practices

  • The NLRA prohibits employers from engaging in unfair labor practices that interfere with employees' rights to organize and bargain collectively
  • Examples include threatening or disciplining employees for union activity, promising benefits to discourage unionization, and refusing to bargain in good faith with a certified union
  • Unions can file charges with the NLRB, which investigates and prosecutes violations, and may order remedies such as reinstatement, back pay, and bargaining orders

Impact of unions on organizations

Wages and benefits

  • Research shows that union workers typically earn higher wages and receive more generous benefits (e.g., health insurance, pensions) than non-union workers in similar occupations and industries
  • Unions use collective bargaining to negotiate better compensation packages and to reduce wage inequality within and across firms
  • However, critics argue that higher labor costs due to unionization can lead to reduced profitability, investment, and employment growth

Job security and tenure

  • Unions often negotiate for job security provisions in contracts, such as seniority rights, just cause for discipline and discharge, and layoff and recall procedures
  • These protections can reduce employee turnover and provide a more stable workforce, but may also limit management flexibility in staffing decisions
  • Some studies suggest that union workers have longer job tenures and are less likely to be laid off during economic downturns compared to non-union workers

Productivity and efficiency

  • The impact of unions on is complex and varies across industries and firms
  • On one hand, unions can contribute to higher productivity by promoting worker training, safety, and motivation, and by facilitating communication and problem-solving between workers and management
  • On the other hand, unions may also introduce rigidities and work rules that limit innovation and flexibility, and may engage in restrictive practices (e.g., featherbedding) that reduce efficiency

Challenges facing unions today

Declining union membership

  • Union density (the percentage of workers who belong to unions) has been declining in many countries, including the United States, where it fell from a peak of 35% in the 1950s to 10.3% in 2021
  • Factors contributing to this decline include deindustrialization, globalization, technological change, and anti-union policies and attitudes
  • Declining membership reduces unions' bargaining power and financial resources, making it harder to organize new workers and influence public policy

Globalization and outsourcing

  • The growth of international trade and the offshoring of production to lower-wage countries has put pressure on unions in developed economies
  • Multinational corporations can threaten to relocate operations to avoid unionization or to extract concessions from unions in contract negotiations
  • Unions have responded by building alliances with labor organizations in other countries and advocating for fair trade agreements and international labor standards

Changing workforce demographics

  • The composition of the workforce is changing, with a growing share of women, racial and ethnic minorities, immigrants, and service sector workers
  • These groups have traditionally had lower rates of unionization and may have different priorities and expectations for their unions
  • Unions are challenged to adapt their organizing strategies and bargaining agendas to reflect the diversity of the workforce and to address issues such as discrimination, work-life balance, and contingent employment

Future of unionization

Alternative forms of worker representation

  • As traditional unions face challenges, new forms of worker organization and advocacy are emerging, such as worker centers, community-based organizations, and online labor platforms
  • These alternative models often focus on issues beyond collective bargaining, such as immigration rights, social justice, and skills development
  • They may also use different tactics, such as public shaming campaigns, lawsuits, and policy advocacy, to pressure employers and government officials

Adapting to the gig economy

  • The rise of the and platform-based work (e.g., Uber, TaskRabbit) poses challenges for traditional union models based on stable, full-time employment
  • Gig workers are often classified as independent contractors, which excludes them from many labor protections and makes it difficult for unions to organize them
  • Some unions are experimenting with new ways to represent and support gig workers, such as providing benefits, training, and legal services, and advocating for policies that extend labor rights to independent contractors

Key Terms to Review (28)

Alternative forms of worker representation: Alternative forms of worker representation refer to non-union mechanisms through which employees can voice their concerns, negotiate, and influence workplace policies and practices. These forms can take various shapes, such as works councils, employee forums, and direct negotiation processes, providing employees with opportunities to participate in decision-making without traditional union involvement.
American Federation of Labor: The American Federation of Labor (AFL) was a national federation of labor unions in the United States founded in 1886. It aimed to organize skilled workers across various trades and crafts, advocating for better wages, working conditions, and hours. The AFL focused on practical goals and collective bargaining, setting the foundation for modern labor relations.
Arbitration: Arbitration is a method of resolving disputes outside of the courts, where an impartial third party, known as the arbitrator, makes a binding decision. It is commonly used in various contexts, including labor relations and commercial disputes, and is a key element of conflict resolution strategies that aim to avoid the lengthy process of litigation. By providing a structured environment for resolving disagreements, arbitration can help maintain relationships between parties while reaching an effective resolution.
Boycotts: Boycotts are a form of protest where individuals or groups refuse to purchase goods or services from a company or organization to express disapproval or to bring about change. They are often used to advocate for social, political, or economic reforms and can be a powerful tool for unionized workers to leverage collective bargaining power against employers.
Cesar Chavez: Cesar Chavez was a prominent labor leader and civil rights activist who co-founded the United Farm Workers (UFW) union, advocating for better working conditions and rights for farmworkers in the United States. His efforts focused on organizing farm laborers, raising awareness about their struggles, and promoting nonviolent protests to achieve social justice and labor rights.
Changing Workforce Demographics: Changing workforce demographics refer to the shifts in the composition of the labor force, including variations in age, gender, race, and educational background. These changes are significant as they influence organizational practices, workplace culture, and collective bargaining strategies within unions, highlighting the need for adaptation in policies and representation to meet the diverse needs of the workforce.
Collective Bargaining: Collective bargaining is the process through which employers and a group of employees negotiate terms and conditions of employment, including wages, working hours, benefits, and workplace policies. This collaborative approach aims to create mutually beneficial agreements that address the interests of both parties, fostering a more harmonious work environment and enhancing job security for employees.
Congress of Industrial Organizations: The Congress of Industrial Organizations (CIO) was a major labor organization in the United States that emerged in the 1930s, primarily focused on organizing workers in mass production industries. The CIO played a crucial role in promoting industrial unionism, which aimed to unite all workers within an industry, regardless of their specific job or trade, under a single union. This approach helped to increase labor's influence in negotiations with employers and led to significant advancements in workers' rights and conditions during a pivotal time in American history.
Declining Union Membership: Declining union membership refers to the decrease in the number of workers who are members of labor unions over a period of time. This trend is often attributed to various factors, including changes in the economy, shifts in labor laws, and evolving attitudes towards unions among workers. As membership declines, unions may face challenges in maintaining their influence and negotiating power on behalf of workers, which can lead to a weakened labor movement overall.
Gig economy: The gig economy refers to a labor market characterized by short-term, flexible jobs, often mediated by digital platforms, where individuals engage in freelance or temporary work instead of traditional full-time employment. This economic model allows workers to take on multiple jobs simultaneously, leading to both opportunities for income and challenges regarding job security and benefits.
Globalization: Globalization refers to the process of increased interconnectedness and interdependence among countries, cultures, and economies around the world. This phenomenon has led to the expansion of international trade, the flow of capital, and the movement of people across borders, resulting in significant impacts on local economies, cultural exchanges, and labor dynamics. As globalization progresses, it influences various aspects of work environments, including unionization efforts, as labor organizations respond to the changing global landscape.
Grievance procedure: A grievance procedure is a formalized process that employees follow to resolve complaints or disputes with their employer, often related to violations of workplace policies, labor agreements, or employee rights. This structured approach is essential in maintaining workplace harmony and ensuring that workers have a clear pathway to express their concerns, especially in unionized environments where it serves as a crucial mechanism for collective bargaining and conflict resolution.
Job security: Job security refers to the assurance that an employee has regarding the continuity of their employment. It encompasses the stability of a job position and the protection against arbitrary dismissal or layoffs, often influenced by factors such as union representation, organizational policies, and economic conditions. The presence of job security can significantly affect employee morale, productivity, and loyalty to an organization.
National Labor Relations Act: The National Labor Relations Act (NLRA), also known as the Wagner Act, is a landmark piece of legislation enacted in 1935 that protects the rights of employees to organize, join labor unions, and engage in collective bargaining. It established key legal protections for workers and outlined the procedures for union elections, fundamentally shaping labor relations in the United States by fostering an environment conducive to unionization and fair negotiation between employees and employers.
Picketing: Picketing is a form of protest where individuals, often organized by a labor union, stand or march outside a workplace or other location to demonstrate against an employer's practices or policies. This method is primarily used during strikes to raise public awareness about labor disputes, advocate for workers' rights, and exert pressure on employers to negotiate. Picketing serves as a visible and vocal expression of grievances, aiming to garner public support and influence the employer's decisions.
Political lobbying: Political lobbying is the practice of influencing decisions made by government officials, particularly legislators, on behalf of individuals, organizations, or interest groups. This process often involves advocating for specific policies or legislation and can play a significant role in shaping public policy and governance. Lobbying can take many forms, including direct interaction with policymakers, grassroots campaigns, and funding political campaigns to gain access and influence.
Productivity and Efficiency: Productivity refers to the measure of output produced per unit of input, while efficiency relates to how well resources are utilized to achieve maximum output with minimal waste. In the context of labor relations, these concepts play a critical role in understanding how unionization can impact organizational performance and worker satisfaction. When workers are organized, they often negotiate for better working conditions and compensation, which can lead to higher productivity and efficiency in the workplace, fostering a more motivated workforce.
Right-to-work laws: Right-to-work laws are state-level statutes in the United States that make it illegal for employers and unions to require union membership or payment of union dues as a condition of employment. These laws are often seen as a way to promote individual freedom and choice in the workplace, allowing employees to work without being compelled to join a union or pay fees to one. The laws create a legal environment that can influence union strength and membership rates, impacting collective bargaining dynamics.
Samuel Gompers: Samuel Gompers was a key figure in the American labor movement and the founding president of the American Federation of Labor (AFL), serving from 1886 to 1924. He advocated for better working conditions, higher wages, and shorter working hours, emphasizing a pragmatic approach to unionization that focused on collective bargaining rather than political involvement. His leadership helped shape the labor landscape in the United States during a time of rapid industrialization and worker unrest.
Strikes: Strikes are collective work stoppages initiated by employees, often organized by labor unions, to protest working conditions, wages, or other employment-related issues. They serve as a powerful tool for workers to express their grievances and seek changes from employers, often resulting in negotiations or settlements to address the concerns raised. Strikes can disrupt business operations and highlight the power dynamics between labor and management in the workplace.
Unfair labor practices: Unfair labor practices refer to actions by employers or unions that violate the rights of employees or employers under labor law. These practices can undermine collective bargaining, employee rights to organize, and the overall balance in labor relations, creating a hostile environment for unionization efforts.
Union avoidance strategies: Union avoidance strategies are tactics employed by employers to deter employees from organizing or joining labor unions. These strategies can include a variety of methods, such as improving working conditions, increasing wages, enhancing benefits, or engaging in anti-union campaigns. Employers aim to maintain direct relationships with their employees, often promoting the notion that unions are unnecessary and could disrupt workplace harmony.
Union certification: Union certification is the official process through which a labor union is recognized as the representative of a group of employees for collective bargaining purposes. This recognition typically requires a demonstration of majority support among the employees, often achieved through a secret ballot election or showing signed authorization cards. Once certified, the union gains the legal authority to negotiate on behalf of the workers regarding wages, benefits, and working conditions.
Union Decertification: Union decertification is the process by which employees remove their union's authority to represent them in collective bargaining. This typically occurs when workers feel that their union is not effectively advocating for their interests or when they wish to pursue direct negotiations with their employer without union representation. The process requires a formal vote and can reflect shifts in employee sentiments regarding union effectiveness and leadership.
Unionization: Unionization is the process by which workers come together to form or join a labor union in order to collectively negotiate with their employers regarding wages, working conditions, and other employment-related matters. This collective bargaining empowers employees to have a stronger voice in the workplace, enabling them to advocate for their rights and interests effectively.
Wages and benefits: Wages and benefits refer to the compensation and additional perks provided to employees in exchange for their labor. Wages are the monetary payments made to workers, usually calculated on an hourly or salary basis, while benefits encompass non-wage compensations such as health insurance, retirement plans, and paid time off. These components are critical in union negotiations, where labor organizations advocate for better wages and enhanced benefits for their members.
Work stoppages: Work stoppages refer to the halting of work by employees, often organized as a form of protest against employers, typically related to issues like wages, working conditions, or labor disputes. This action can take many forms, such as strikes or lockouts, and is often a critical tactic employed by unions to exert pressure on employers during negotiations. The implications of work stoppages can extend beyond the immediate parties involved, affecting industries, communities, and even the economy at large.
Workers' rights: Workers' rights refer to the legal and human rights that protect the interests of workers in the workplace. These rights include fair wages, safe working conditions, the right to organize and join unions, and protection against discrimination and exploitation. They are vital for ensuring that employees can work in an environment that respects their dignity and promotes their welfare.
© 2024 Fiveable Inc. All rights reserved.
AP® and SAT® are trademarks registered by the College Board, which is not affiliated with, and does not endorse this website.
Back
Practice QuizGlossary
Practice QuizGlossary
Next guide