1. U.S. Department of Labor Office of Labor-Management Standards (OLMS)
Introduction:
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February 2007

2. U.S. Department of Labor Office of Labor-Management Standards
The Secretary of Labor has authority over all agencies within the Department of Labor.
The Office of Labor-Management Standards (OLMS) is an agency of the U. S. Department of Labor.
OLMS is under the direction of a Director.
PRESENTER’S NOTES:
Mention the name of the current Secretary of Labor in the first bullet point.
“The Secretary of Labor, Elaine Chao, has authority over ….”
Other major agencies with the Department of Labor include:
Occupational Safety and health Administration (OSHA)
Employee Benefits Security Administration (EBSA)
Bureau of Labor Statistics (BLS)
Wage-Hour Division
Office of Federal Contract Compliance Programs (OFCCP
Office of Workers Compensation Programs (OWCP)
Veterans Employment and Training Services (VETS)
Employment and Training Administration (ETA)
Mine Safety and Health Administration (MSHA)
Mention the name of the DAS under the third bullet point
“ OLMS is under the direction of a Deputy Assistant Secretary, Don Todd, who is appointed ….”

3. OLMS Field Structure
OLMS has 4 regional offices and 20 district offices throughout the U.S.
Northeastern Regional Office
Boston, Buffalo, New York, Philadelphia, and Pittsburgh
Southern Regional Office
Atlanta, Dallas, Nashville, New Orleans, and Washington

4. OLMS Field Structure Central Regional Office
Chicago, Cincinnati, Cleveland, Detroit and Milwaukee
Western Regional Office
Denver, Los Angeles, San Francisco, Seattle and St. Louis
In addition, OLMS has resident offices in:
Birmingham, Grand Rapids, Honolulu, Houston, Kansas City, Las Vegas, Miami, Minneapolis, New Haven, Newark, Phoenix, Puerto Rico and Tampa

5. Contacting OLMS Online
Addresses and telephone numbers of OLMS field offices are on the OLMS Website.

6. Office of Labor-Management Standards
OLMS is responsible for –
Administering most provisions of the Labor- Management Reporting and Disclosure Act of 1959 (LMRDA), and
Administering provisions of the Civil Service Reform Act, the Government Accountability Act and the Foreign Service Act relating to standards of conduct for federal employee unions.
PRESENTER’S NOTES:
Unions representing U. S. Postal Service Employees became subject to the LMRDA with the passage of the Postal Reorganization Act of 1970
Unions representing solely state, county, or municipal employees are not covered by the Act.

7. OLMS Activities OLMS Performs Four Types of Activities:
Public Disclosure of Reports
Compliance Audits
Investigations (Civil and Criminal)
Education and Compliance Assistance

8. OLMS Activities - Public Disclosure
Unions must file financial reports with OLMS annually.
Employers, labor relations consultants, union officers and employees, and surety companies are also required to file reports under certain circumstances.
Most reports are available on-line and can be accessed through our website:

9. OLMS Activities - Compliance Audits
OLMS conducts audits to determine if unions are complying with the law.
The Compliance Audit Program (CAP) is a streamlined audit designed to account for union funds and to verify LMRDA compliance.
I-CAP is a companion program to audit national and international unions.
CAP and I-CAP allow OLMS to provide compliance assistance to union officials to help them correct problems detected during the audit and to prevent future violations.

10. OLMS Activities - Investigations
OLMS investigates possible civil and criminal violations of the following:
Right to Copies of Collective Bargaining Agreement
Reporting Requirements
Trusteeships
Elections of Officers
Embezzlement of Union Funds
Bonding
Making of Loans, Payment of Fines
Prohibition Against Certain Persons Holding Office
Deprivation of Rights Under Act by Violence
Extortionate Picketing

11. OLMS Activities - Education and Compliance Assistance
OLMS has an active program to promote voluntary compliance with the LMRDA by informing union officers, and others affected by the law, of their responsibilities and by encouraging members to exercise their rights under the LMRDA.

12. OLMS Activities - Education and Compliance Assistance
OLMS conducts many educational activities, ranging from one-on-one meetings with union officers to statewide seminars for hundreds of union officials.
Assistance is also provided to meet the special needs of union members, employers, consultants, and the general public.

13. OLMS Activities - Education and Compliance Assistance
OLMS publishes and distributes explanatory pamphlets which emphasize voluntary compliance with the LMRDA.
Available from district offices or from our website at
OLMS conducts seminars and workshops
-- about the law in general and
-- about specific areas such as election procedures or completing required reports
Contact district offices to schedule compliance assistance.

14. OLMS Activities - Education and Compliance Assistance
OLMS works with international union officials to correct or prevent LMRDA violations by affiliates
OLMS participates in union conventions by providing displays and publications, giving speeches, participating in panel discussions, and conducting workshops for those attending

15. The Labor-Management Reporting and Disclosure Act
The LMRDA was enacted by Congress primarily to ensure basic standards of democracy and fiscal responsibility in labor organizations representing employees in private industry.
OLMS enforcement of the LMRDA is important because it fosters union democracy, financial integrity and transparency.

16. What does the LMRDA do?
The LMRDA grants certain rights to union members and protects their interests by promoting democratic procedures within labor organizations.
The LMRDA is based on these principles:
a strong, honest and responsible trade union movement
control of internal affairs and finances by fully informed rank-and-file union members
fiduciary obligations of union officers

17. Who is covered by the LMRDA?
Unions representing employees of private sector employers
Unions representing U.S. Postal Service employees are covered by the LMRDA as the result of the Postal Reorganization Act.
Unions representing Federal employees are covered by the implementing regulations of the standards of conduct provisions of the Civil Service Reform Act of 1978.

18. Who is covered by the LMRDA?
Local unions representing only state, county, and municipal employees are not covered by the LMRDA.

19. LMRDA Titles I - VI
Title I contains a bill of rights for union members.
Title II contains reporting requirements for labor organizations, union officers and employees, employers, labor-relations consultants, and surety companies.
Title III governs trusteeships imposed by parent bodies over subordinate units.
Title IV provides the minimum requirements for conducting fair and democratic regular elections of union officers.
Title V contains safeguards for protecting labor organization funds and assets.
Title VI contains miscellaneous provisions – Extortionate Picketing & Deprivation of Rights by Violence.

20. Title I – Bill of Rights Union members have equal rights to -
Nominate candidates for union office
Vote in union elections
Participate in union meetings
Meet with other members and express any opinions
PRESENTER’S NOTES:
Union members have equal rights to participate in union activities such as nominating candidates for union office.
Union members can vote in elections or referendums of the union, attend membership meetings, participate in the deliberations and voting on union business of such meetings.
Members have the right to meet and assemble freely with other members and to express their views at meetings subject to the reasonable rules pertaining to the conduct of those meetings.

21. Title I – Bill of Rights (cont’d)
Unions may impose assessments and raise dues only by democratic procedures.
Unions must afford members a full and fair hearing of charges against them.
Unions must inform their members about provisions of the LMRDA.
Union members and nonunion employees covered by a collective bargaining agreement have the right to receive or to inspect that agreement.
PRESENTER’S NOTES:
In local unions dues and initiation fees may be raised by either:
by majority vote of the members in good standing at a membership meeting after reasonable notice of the intent to vote on these issues, or
by majority vote of the members in good standing voting in a membership referendum conducted by secret ballot.
In unions other than local unions, dues and initiation fees may be raised by either:
by vote of delegates at a regular or special convention, or
by majority vote of the members in good standing voting in a membership referendum conducted by secret ballot, or
by majority vote of the executive board or similar governing body of the union, provided that the action of the executive board or similar governing body shall be in effect only until the next regular convention.
A full and fair hearing means the member must be served with written charges, allowed adequate time to prepare a defense and be afforded the opportunity to question witnesses and present evidence and testimony
For unions subject to the LMRDA, the provisions of Title I, with the exception of Section 104, are enforced by private suit brought by a union member. The member may be required to exhaust internal union remedies for up to four months.
Section 104 provides for union members and non-union employees to receive or inspect collective bargaining agreements. This right may be enforced by the individual through private suit or by the Secretary of Labor.
Unions comprised solely of federal employees are subject to the standards of conduct provisions of the Civil Service Reform Act (CSRA). Enforcement of Title I is through action by a union member before a Department of Labor administrative law judge.

22. Title II: Reporting Requirements
The LMRDA requires unions to file information reports, copies of their constitutions and bylaws, and annual financial reports with OLMS.
The Information Report, Form LM-1, must be filed within 90 days after becoming subject to the Act.
PRESENTER’S NOTES:
Unions are required to file an initial Information Report, Form LM-1, within 90 days after becoming subject to the Act and are required to file financial reports annually thereafter. Financial reports are required to be filed within 90 days after the end of the union’s fiscal year.

23. Title II: Annual Financial Reports Forms LM-2, 3, 4
Form LM-2: must be filed by unions with annual receipts of $250,000 or more
Form LM-3: unions with annual receipts of $10,000 or more but less than $250,000
Form LM-4: annual receipts under $10,000
Forms LM-2, 3 and 4 must be filed within 90 days after the end of the union’s fiscal year.
PRESENTER’S NOTES:
Financial reports are required to be filed within 90 days after the end of the union’s fiscal year.
Unions are required to maintain the financial records that are used to complete the annual financial report for a period of five years after the report is filed.
This title contains both civil and criminal penalties for willful failure to maintain the financial records, willful failure to file the required reports with the Secretary of Labor, and false entries in, or willful concealment or destruction of financial records.

24. Title II: Form LM-30 Reports
Union officers and employees must report any loans and benefits received from, or certain financial interests in, employers whose employees their union represents and employers (businesses) that deal with their union.
The Union Officer and Employee Report, Form LM-30, must be filed within 90 days after the close of the fiscal year of the person filing the report.
PRESENTER’S NOTES:
An officer or employee is also subject to this reporting requirement if their spouse or minor child is the beneficiary of these direct or indirect financial benefits.
Be prepared to give some examples of reportable payments such as airfare, lodging and meal payments.

25. Title II: Form LM-10 Reports
Employers who make certain payments to union officers and employees must file a Form LM-10.
Employers who hire labor-relations consultants to engage in certain activities to persuade employees about their rights to organize and bargain collectively or to supply information to the employer in connection with a labor dispute must file a Form LM-10.
PRESENTER’S NOTES:
Reportable activities include:
any payment or loan of money or other thing of value or any promise or agreement to any labor organization or officer, agent, shop steward, or other representative of a labor organization.
any payment to any of his employees for the purpose of causing the employee to persuade other employees to exercise or not to exercise the right to organize and bargain collectively through representatives of their own choosing.
any expenditure where an object thereof is to interfere with, restrain, or coerce employees in the exercise of their rights to organize and bargain collectively through representatives of their own choosing or to obtain information in connection with a labor dispute.
any agreement or arrangement with a labor relations consultant where such person attempts to persuade employees as to the manner or exercising the right to organize and bargain collectively through representatives of their own choosing.
Employers who engage in a reportable activity are required to file an Employer
Report within 90 days after the close of the company’s fiscal year.

26. Title II: Form LM-10 Reports
Employer Report, Form LM-10 must be filed within 90 days after the close of the employer’s fiscal year.
Must be signed by the president and treasurer or corresponding principal officers
PRESENTER’S NOTES:
Employers who engage in a reportable activity are required to file an Employer
Report within 90 days after the close of the company’s fiscal year.

27. Title II – Form LM-20 Reports
Agreement and Activities Report, Form LM- 20 must be filed by any person who pursuant to an agreement with an employer:
undertakes any activities to persuade employees as to the manner of exercising their right to organize and bargain collectively through representatives of their own choosing; or
supplies certain types of information to an employer in connection with a labor dispute involving the employer.
PRESENTER’S NOTES:
Labor Consultants should file an LM-20 when they have direct contact with employees to persuade employees about exercising their rights to join a union.

28. Title II – Form LM-20 Reports (cont’d)
Agreement and Activities Report, Form LM-20
The report must be filed within 30 days after entering into such agreement or arrangement.
The persons responsible for signing the report are the president and treasurer or corresponding principal officers, or if self- employed, the individual performing the activities.
Each individual required to sign the report is personally responsible for the filing and for any statement contained therein which he or she knows to be false.

29. Title II – Form LM-21 Reports
Receipts and Disbursements Report, Form LM- 21
This report is required to be filed by any person who files an Agreement and Activities Report, Form LM-20, if any payments were made or received during the fiscal year as a result of such agreement or arrangement requiring a Form LM-20.
The Form LM-21 must be filed within 90 days after the end of the person’s fiscal year.
The Form LM-21 must be signed by the president and treasurer or corresponding principal officers of the firm, or if self-employed, by the individual performing the activities.

30. Public Disclosure of Reports
The reports and documents filed with OLMS
are public information. Union annual financial reports, employer and consultant reports, and union officer and employee reports filed since are available for review and/or printing from the OLMS website at:
PRESENTER’S NOTES:
The OLMS website was established in 2002 and provides actual union annual financial reports, employer & consultant reports, and officer & employee reports for year 2000 and later. The reports are searchable by a variety of criteria, including union name, file number, affiliation, designation name and number, and location.

31. Public Disclosure of Reports
All reports filed with OLMS are available for examination or purchase from the OLMS Public Disclosure Room:
Room N-1519
200 Constitution Ave., NW
Washington, DC 20210
(voice) (fax)

32. Title II – Reporting Requirements
Filers must keep records necessary to verify the accuracy of the information contained on the reports for a period of five years from the date the report is filed.
Unions must make information contained in its LM reports available to members and, if a member can show just cause, permit him or her to examine supporting records.
PRESENTER’S NOTES:
Enforcement of the section providing members the right to inspect financial records is through private suit.

33. Title III – Trusteeships
A trusteeship
is “any receivership, trusteeship, or other method of supervision or control whereby a labor organization suspends the autonomy otherwise available to a subordinate body under its constitution and bylaws.”
may only be imposed for the purposes specified in the LMRDA, and
must be established and administered in accordance with the constitution and bylaws of the labor organization that imposed it.
PRESENTER’S NOTES:
A trusteeship established in accordance with a labor organization’s constitution and bylaws and authorized after a hearing is presumed valid for a period of 18 months, except that the validity may be challenged upon clear and convincing proof that the trusteeship was not established or maintained in good faith for an allowable purpose.
After 18 months, the parent body must provide clear and convincing proof that the continuation of the trusteeship is necessary for an allowable purpose.
The Secretary of Labor has authority to investigate alleged violations of this Title upon receipt of a written complaint from a union member.

34. Trusteeships - Allowable purposes
Trusteeships may be established for the following purposes:
correcting corruption or financial malpractice
assuring the performance of collective bargaining agreements
restoring democratic procedures
otherwise carrying out the legitimate objects of the union

35. Trusteeship Reporting Requirements
A parent body which places a subordinate labor organization in trusteeship must file initial, semiannual, and terminal trusteeship reports.
Trusteeship Report, Form LM-15, & Form LM-2
Report on Selection of Delegates and Officers, Form LM-15A
Terminal Trusteeship Report, Form LM-16, & Form LM-2

36. Limits on Parent Bodies
A parent body that imposes a trusteeship may not engage in specified acts involving the funds and delegate votes from a trusteed union. The parent body may not:
transfer funds to the parent except for normal payments like per capita tax
count votes of delegates from a local in trusteeship at a convention or election of officers unless the local’s members elected the delegates by secret ballot
PRESENTER’S NOTES:
It is unlawful for the parent body to –
count the vote of any delegates from a trusteed organization in any convention or election of officers of the labor organization unless the delegates were chosen by secret ballot in an election in which all members in good standing of the organization were eligible to participate.
to transfer any current receipts or other funds of the trusteed organization except the normal per capita tax and other assessments payable by subordinate organizations not in trusteeship.
Any person who willfully violates this Section will be subject to criminal penalties.

37. Title IV – Officer Elections
Title IV of the LMRDA:
Sets minimum requirements for officer elections that a labor union must follow including the maximum amount of time between elections
Requires that union constitution and bylaws be followed
Establishes members’ rights to be a candidate for office and vote in elections, subject to reasonable rules uniformly imposed
PRESENTER’S NOTES:
Title IV applies to regularly scheduled elections of union officers. Does not apply to filling vacancies in office.
This Title provides for minimum standards in conducting union elections including --
Local unions must elect their officers by secret ballot at least once
every three years.
A member in good standing has the right to nominate candidates,
to be a candidate subject to reasonable qualifications uniformly
imposed.
Unions must mail a notice of election to every member at the
member’s last known home address at least 15 days prior to the
election.
A member whose dues have been withheld by an employer may
not be declared ineligible to be a candidate for office by reason of
alleged delay or default in the payment of dues.
Unions must conduct regular elections of officers in accordance
with their constitution and bylaws and preserve election records
for a period of one year.

38. Title IV – Officer Elections (cont’d)
Establishes a candidate’s right to have the union distribute his or her campaign literature and to have election observers
Requires a 15-day mail notice of election be sent to the membership
Requires that members vote a secret ballot
Prohibits the use of union or employer funds to support a candidate
PRESENTER’S NOTES:
Some candidates’ rights include:
Bona fide candidates have the right to inspect a list containing the names and addresses of members subject to a union security agreement within 30 days prior to the election.
Unions must comply with a candidate’s request to distribute campaign material to members at the candidate’s own expense.
Candidates have the right to have observers present at all phases of the election including ballot preparation, ballot mailing, at the polls, and at the tally.
Section 401(g) prohibits the use of union and employer funds in support of a candidate. Union funds can be spent on things necessary to conduct the election and other activities where all candidates are treated equally.

39. Who must be elected? Officers named in union constitution
Members of union executive board or similar governing body
All who have policymaking or executive authority regardless of title
Convention delegates who elect officers of an international or national union or intermediate body
PRESENTER’S NOTES:
All union executive or policy-making positions must be filled by election even if the positions are not identified as officer positions in the constitution and bylaws.
The fact that a union elects an official does not make that official an officer. For example, a union may elect shop stewards but unless the stewards sit on the executive board or are designated as officers in the constitution and bylaws, they are not covered by Title IV.
Convention delegated must be elected if they elect officers of a higher body.

40. Frequency of Elections
Locals – at least every 3 years
Intermediate bodies – at least every 4 years
National or International unions – at least every 5 years
A union may hold elections more frequently than required by the LMRDA.
PRESENTER’S NOTES:

41. Who may run for office?
Any member in good standing who meets reasonable qualifications in the union constitution and bylaws that are uniformly applied
Persons not barred from holding union office under Section 504 of the LMRDA
PRESENTER’S NOTES:
A member in good standing is any person who has fulfilled the requirements of membership and has neither withdrawn from membership nor has been expelled or suspended from membership after appropriate proceedings.
Some examples of candidate qualifications are: length of membership not to exceed 2 years; continuous good standing with a reasonable grace period to make up for missed payments; a reasonable meeting attendance requirement; working at the trade; and that the candidate not be a supervisor or employer.
Section 504 prohibit persons convicted of certain crimes from holding union office or employment for 13 years after conviction or after the end of imprisonment, whichever is later. Crimes include murder, assault with intent to harm, arson, narcotics violations, embezzlement, theft and recordkeeping and reporting violations under the LMRDA.

42. Filing a complaint with OLMS
A member must follow appeal procedures in the union constitution and bylaws before filing a complaint with OLMS.
A member may file with OLMS within 1 month after receiving a final decision or after waiting 3 calendar months without receiving a final decision.
Secretary of Labor files suit in Federal District Court to set aside an invalid election and requests a new election to be held under OLMS supervision.
PRESENTER’S NOTES:
Any member in good standing may protest an officer election.
Before a member can file a complaint with the Secretary of Labor, that member must have either:
(1) exhausted the remedies available under the constitution and bylaws or such organization and of any parent body, or
(2) invoked such available remedies without obtaining a final decision within three calendar months from the date of the initial protest.
Any member who has exhausted the available remedies or attempted to exhaust without receiving a final decision can file a complaint with OLMS within one calendar month from the date the final decision was received or from the date the three calendar month expired.
The Secretary will not file suit unless it is determined that the violations may have affected the outcome of the election. The court may order a new election under the Secretary’s supervision.

43. Title V – Safeguards for Labor Organizations
Officers have a duty to manage the funds and property of the union solely for the benefit of the union in accordance with its constitution and bylaws. Sec 501(a)
A union officer or employee who embezzles or otherwise misappropriates union funds or other assets commits a Federal crime punishable by a fine and/or imprisonment. Sec 501(c)
PRESENTER’S NOTES:
Fiduciary Responsibility, Sec 501(a) (b) - If an officer is alleged to have violated his fiduciary responsibilities and the union or its governing body refuse or fail to sue or recover damages or secure an accounting or other appropriate relief within a reasonable time after being requested to do so by any member, such member may file suit in U. S. District Court. In addition to granting appropriate relief, the court may order payment of the member’s fees and other expenses incurred by him in bringing the court action.
OLMS does not enforce the fiduciary standards of Sec 501 (a) for private sector unions but does provide enforcement for federal employee unions under the Civil Service Reform Act.
Embezzlement, Sec 501(c) - OLMS investigates embezzlement allegations pursuant to a MOU with DOJ.
Punishment is imprisonment for up to five years and maximum fine of $250,000. Court may also order restitution.

44. Title V – Safeguards for Labor Organizations
Officials who handle union funds or property must be bonded against losses. Sec 502
A union may not have outstanding loans to any one officer or employee that in total exceed $2,000. Sec 503
Persons convicted of certain crimes may not hold union office or employment or serve in other capacities described in section 504 of the LMRDA for up to 13 years after conviction or after the end of imprisonment. Sec 504
PRESENTER’S NOTES:
Bonding (Sec502) - Any officer or employee who handles funds or assets of the union must be bonded for a minimum of 10 % of the funds handled by him or his predecessors during the previous fiscal year. Liquid assets and receipts must exceed $ Maximum bond amount is $500,000.
Loans (Sec 503) – Total indebtedness at any time must not exceed $2000.
Prohibited Persons Holding Office (Sec 504) - crimes include robbery, bribery, extortion, embezzlement, grand larceny, burglary, arson, violations of narcotics laws, murder, rape, assault with intent to kill, assault which inflicts grievous bodily injury, violations of Title II or III of this Act, or conspiracy to commit such crimes and any felony involving abuse of such person’s position or employment in a labor organization or employee benefit plan.

45. Title VI – Miscellaneous Provisions
Authority is granted to the Secretary of Labor in Section 601 to investigate possible violations of most provisions of the LMRDA and to enter premises, examine records and question persons in the course of the investigation.
Section 601 gives the Secretary the authority to issue subpoenas to compel testimony or to obtain records.
The Secretary does not investigate Bill of Rights, except Sec 104, or amendments made by the LMRDA to other laws.
The Secretary can file civil actions in federal district court to correct violations.

46. Title VI – Miscellaneous Provisions
LMRDA Section 602 prohibits Extortionate Picketing.
Extortionate Picketing is when picketing occurs on or about an employer’s premises for the purpose of extracting payments, other than wages and benefits, from that employer.
OLMS investigates complaints under Sec 602
PRESENTER’S NOTES:

47. Title VI – Miscellaneous Provisions
A union or any of its officials may not fine, suspend, expel, or otherwise discipline a member for exercise of rights under the LMRDA. Sec 609
This section of the Act is enforced by private suit.
PRESENTER’S NOTES:
Enforcement of this section is through a civil suit filed by the individual member in the United States District Court.

48. Title VI – Miscellaneous Provisions
Under the provisions of Section 610 no one may use or threaten to use force or violence to interfere with a union member in the exercise of his or her LMRDA rights.
Section 610 prohibits “any person” from depriving a union member of his or her LMRDA rights.
OLMS investigates allegations of violations of Section 610.
PRESENTER’S NOTES:
- OLMS investigates Sec 610 allegations. However, threats or acts of violence under Sec 610 should also be reported to local authorities and the FBI.
Member rights protected by Sec 610 include the right to: participate in union meetings; vote on union business; inspect copies of CBA; run for office; nominate and support candidates for union office; vote in elections; protest an election; and to file a lawsuit against the union.
“any person” means that the individual who threatened or assaulted a union member does not have to be a union officer, employee, or member.

49. Contact OLMS http://www.olms.dol.gov
Online at:
The Department of Labor Call Center at: USA-DOL
You may also send questions via to
PRESENTER’S NOTES:
This concludes our presentation of the Labor-Management Reporting
and Disclosure Act of 1959.
During this presentation we have reviewed
Title I – Bill of Rights of Union Members
Title II – Reporting Requirements
Title III – Trusteeships
Title IV – Union Officer Elections
Title V – Safeguards of Labor Organizations
Title VI – Miscellaneous Provisions.
Are there any questions about the LMRDA?