LABOUR AND UNIONS Pt. 2

THE UNION  When discussing labour it is nearly impossible to have that discussion without mention of unions.  The idea of unions can be very polarizing but some misconceptions about the role of unions has to be addressed.

LABOUR  Prior to learning about the types of unions in Canada it is important to see what we already know about union…  Prior Knowledge…

 Fire up the barbeque, Labour Day has arrived.  While wildly celebrated across the country, the holiday is often thought of as the last hurrah before students head back to school and the official end to summer  But Labour Day is more than just the end to summer break — a fact many Canadians tend to forget.

 The Labour Day holiday, however, was established to recognize the contribution that ordinary working people have made to the Canadian way of life.  The union movement has built a very large part of society, both in terms of the way people are paid, but also in terms of people's rights.  This includes the right to fair wages, safe working conditions and compensation for injury, and equitable labour relations.

A STEP BACK..  Canada was changing rapidly during the second half of the 19th century. Immigration was increasing, cities were getting crowded, and industrialization was drastically altering the country’s economy and workforce.

 As machines began to replace or automate many work processes, employees found they no longer had special skills to offer employers. Workers could easily be replaced if they complained or dissented and so were often unable to speak out against low wages, long work weeks and deplorable working conditions.

 This is the context and setting for what is generally considered Canada’s first Labour Day event in At the time, unions were illegal in Canada, which was still operating under an archaic British law already abolished in England.  The decisions by the workers at the Toronto Printer Union began a movement…

George Brown--  John A. Macdonald

PM Sir John Thompson

VIDEO  What does this image have to do with unions?

LABOUR UNIONS  Labor unions represent workers in particular industries, trades or sectors. They organize their members to negotiate improved wages, benefits and working conditions.  Although union membership in the United States peaked in the mid-20th century and has declined since then, various types of labor unions remain an influential force in North American business and politics.

INFLUENCING THE SUPPLY OF LABOUR  The ability of a union to influence the supply of the labour market depends on they type of union.  There are three main types of unions that exist and have power in industrial nations: Craft Unions, Industrial Unions and Public Unions.

CRAFT/TRADE UNIONS  Craft Unions, commonly known as Trade Unions have their roots in the guilds of medieval Europe. In occupations such as bakers and blacksmiths, apprentices learned their trades from masters through the guilds, which regulated production by setting prices and limiting wages and employment.  A trade union whose members all possess a particular skill is called a craft or trade unions.

 Modern craft unions continue to represent workers in specific occupations, especially skilled trades. Craft unions in Canada include the Canadian Auto Workers (CAW) that represent workers in the automobile industry. In 2013 it merged with the Communications, Energy and Paperworkers Union of Canada, forming a new union, Unifor.Unifor

INDUSTRIAL UNIONS  In contrast to Trade Unions, which represent members in specific trades, such as machinists, carpenters and electrical workers, industrial unions represent workers in industrial sectors, such as transportation or food service. One of the largest industrial unions in North America is the International Brotherhood of Teamsters.  A trade union that attempts to organize all the workers in a particular industry, regardless of the job they perform, is called an industrial union.

TRADE UNIONS  Initially a union that represented workers in long-haul trucking, the Teamsters' membership comprises workers in a variety of industrial jobs, including trucking, warehouse and construction.  Other industrial unions in the United States include the United Food and Commercial Workers, consisting of workers in restaurants and other food service industries, and the Organization of Chemical and Atomic Workers, which represents workers in chemical industries and nuclear power plants.

PUBLIC SECTOR UNIONS  A public-sector trade union (or public-sector labor union) is a trade union which primarily represents the interests of employees within a public sector or a governmental organization.  The Canadian Union of Public Employees (CUPE) is a Canadian trade union serving the public sector - although it has in recent years organized workplaces in the non- profit and para-public sector as well.

PUBLIC SECTOR UNIONS  CUPE is the largest union in Canada, representing some 650,000 workers in health care, education, municipalities, libraries, universities, social services, public utilities, transportation, emergency services and airlines.  CUPE is still twice the size of the new union Unifor (a merger of the CAW union and the CEP), which represents around 350,000 members versus CUPE's 657,000. Over 60% of CUPE's members are women, and almost a third are part-time workers.

 The Public Service Alliance of Canada (PSAC) is another common union in Canada that represents government workers.  The Public Service Alliance of Canada represents more than 170,000 workers in every province and territory in Canada and in locations around the world.  Members work for federal government departments and agencies, Crown Corporations, universities, casinos, community services agencies, Aboriginal communities, airports, and the security sector among others.

MINI- RESEARCH ASSIGNMENTS  In groups of 3 or less choose a union in North America and gather some facts or interesting historical information about this union. Be ready to present your findings with the class. Choose between: i. CAW ii. PSAC iii. CUPE iv. International Brotherhood of Teamsters v. One of your choice

COLLECTIVE BARGAINING  1943 was a benchmark year for labour unions in Canada as federal legislation was passed that restricted when unions were allowed to strike in exchange for the legal requirement that employers must bargain with a union that represents the majority of the workers.  Having a collective agreement has nearly eliminated unnecessary strikes as workers have reached a temporary contract with employers.

COLLECTIVE BARGAINING  A Union’s most significant role is in negotiating wages and working conditions on behalf of all the members. This process is known as Collective Bargaining. The contract that is negotiated is know as the collective agreement, which normally lasts for a period of 1 to 3 years. McGill University Collective Agreement

 In situations where disputes arise during the term of the agreement differences must be settled by arbitration.  Arbitration is a procedure whereby an independent 3 rd party settles disputes between unions and management during the life of a collective agreement.

JOB ACTION AND STRIKES  In the majority of situations, disputes between management and its employees are settled without any further issues or problems. Sometimes, however, both parties cannot come to an agreement. Both sides use a number of tools to attempt to force the other party to fold.  Strikes are probably the most well-known tool used by employees. A strike is a temporary stoppage by employees, designed to force an employer to meet contractual demands. Strikes need to have the majority of union support.

STRIKES AND OTHER JOB ACTIONS  The equivalent tool from the perspective of the employers is the lockout. A lockout occurs when the employer shuts down the place of employment in order to force workers to accept its contract offer.  The cost of strikes and lockouts are high as lost wages and lost profits hurt both parties in the short-run.

OTHER ACTIONS  Rotating Strikes are strikes where different branches or locations are shut down for a day or two before the strike moves to another location. This causes disruptions but doesn’t have a large impact on employee paycheques.  Work-to-rule is where employees perform only the duties specifically stated in their contracts.  Boy-cotts can be encouraged by unions members or the general public as a way to lower sales/profits. This strategy may force the employer to reconsider its stance on contract disputes.

ADDITIONAL TERMS  Review the terms found on page of your text book.  Read Should Civil Servants Be Given the Right to Strike? found on page 501 in the text book, discuss and complete questions 1,2 & 3.

QUESTIONS FROM THE FILM  Why is it that the middle class – not the wealthy – are the true “job creators”?  Some income inequality is inevitable as capitalism use financial rewards as an incentive to work hard and be inventive. So why worry about income inequality at all?  Why is income inequality a threat to democracy?  What it the economic impact of globalization?  What is the economic impact of new technology?

UNIT QUESTIONS  Case Study – Pay Equity (pg 508, questions 1,2,3)  End of Unit Review Questions 2, 3, 5, 7*, 8,14  *I really like this question, check page 503 for additional information