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Unions and Management: Key Participants in the Labor Relations Process

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Presentation on theme: "Unions and Management: Key Participants in the Labor Relations Process"— Presentation transcript:

1 Unions and Management: Key Participants in the Labor Relations Process
Chapter 4 Unions and Management: Key Participants in the Labor Relations Process

2 Goals and Strategies: Management and Unions
Union Participation Job Security “Fair” Wages Protected Rights No lockouts Management Control Efficiency Effectiveness Flexibility No strikes Common Interests Survival Competitiveness Profitability Equity MGMT Chapter 4

3 Company Strategic Planning
Basis for a Company’s Strategy Managerial philosophy Managerial ethics Economic conditions Workforce composition Competition in the industry Stage in company/industry life cycle Managerial capabilities MGMT Chapter 4

4 Company Strategies in Labor Relations
Accommodation or Labor- Union Union Union Codified Management Suppression Avoidance Substitution Businesslike Cooperation Union busting Positive HR Company Neutral in union Gain-sharing Illegal acts management paternalism campaign Union involvement Refusal to Double Company Straightforward Employee bargain breasting sponsored approach empowerment Decertification employee Employee stock Filing for organizations option plans bankruptcy Employee Encouraging participation strikes Employee involvement MGMT Chapter 4

5 Tactics to Avoid Unionization
Using spies to identify union supporters Refusing to hire Former employees of unionized firms Applicants with union sympathies Discharging known union advocates Using psychological tests Locating plants in nonunion areas MGMT Chapter 4

6 Union Strategic Plan Mission statement
Analysis of the external environment Internal analysis of the union’s strengths and weaknesses Long-term and short-term objectives Strategy development MGMT Chapter 4

7 Strategic Planning Success for Unions
Collective Bargaining Political Activities Broader Organizing Effective and Successful Unions MGMT Chapter 4

8 Organizational Chart of an International Union
MGMT Chapter 4

9 Organizational Chart for a Local Union
MGMT Chapter 4

10 The Local Union Differences Between Local Craft and Industrial Unions
Craft versus Industry Origins Scope of the Labor Agreement Differing Skills Job Characteristics Internal Leadership Roles MGMT Chapter 4

11 12 Largest National and International Unions
Organization Members (in thousands) National Education Association* 2,700 Service Employees International Union 1,312 American Federation of State, County and Municipal Employees 1,292 International Brotherhood of Teamsters 1,238 United Food and Commercial Workers 1,101 American Federation of Teachers 977 United Auto Workers 666 International Brotherhood of Electrical Workers 665 Communication Workers of America 635 Carpenters and Joiners of America* 531 International Association of Machinists** United Steelworkers *Not in AFL-CIO **Includes some Canadian members MGMT Chapter 4

12 Components of Union Democracy
Decision making Shared sovereignty Opportunities to participate Access to complete information Rights Guaranteed equal rights Minimum economic, health and safety, and environment standards Share in the economic value created by one’s work MGMT Chapter 4

13 The National or International Union
National’s Constitution Adopted by representatives from locals The Convention Organization: Operational Departments Assistance to Local Unions Mergers of National Unions Amalgamation Absorption Affiliation MGMT Chapter 4

14 Reasons for Mergers of National Unions
Rising costs The need for stronger bargaining positions Expensive jurisdictional disputes Decline in U.S. industrial sectors Economies of scale Avoidance of external controls The need for self-preservation MGMT Chapter 4

15 The AFL-CIO 65 national and international unions 60,000 local unions
13± million individual members AFL and CIO merged in 1955 Allows each union its autonomy Enforces ethical codes for democracy and financial integrity of member unions Mediates and resolves disputes between member unions MGMT Chapter 4

16 Use of Information Technology by Unions
Communications Internal with union members External with the public Negotiations Facilitation of bargaining activities Contract administration Union Organizing Political Action Messages MGMT Chapter 4

17 Union Corruption and the Landrum-Griffin Act
Resulted from the McClellan hearings Exposed abuses of power in unions Promotes union democracy and financial integrity: Requires disclosure of union operations and relationships Regulates union trusteeships of retirement funds Imposes fiduciary responsibilities on union officials Protects individual member rights to participate in union elections and governance MGMT Chapter 4

18 Union Security Can increase union membership in the bargaining unit
Provides a certified bargaining opponent with which the employer can negotiate Strengthens union resources Strengthens the union in its ongoing relationship with the employer Strengthens the union’s ability to represent the bargaining unit in collective bargaining MGMT Chapter 4

19 Union Security Provisions
Certification Union Shops Closed Shop Union shop Agency Shop Contingency Union Shop Union Hiring Hall Preferential Treatment Dues check-off MGMT Chapter 4

20 Right-to-Work Laws: Individual’s right to employment without having to join a labor organization Gives individual states the option to adopt state right-to-work laws Effects: Right-to-work states generally have much lower union densities The creation of “free riders” MGMT Chapter 4


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