CONTRACTS & COLLECTIVE BARGAINING




















        The major function of U.S. unions is collective bargaining, a process by which unions and employers negotiate terms of employment. The terms are set forth in a written agreement that the union and the employer promise to enforce. The collective agreement is a document that is divided into five main sections: 

  1. Wages and wage supplements

  2. Worker’s rights on the job

  3. Union rights in relation to the employer

  4. Management rights in relation to the union

  5. Machinery for enforcing these rights, that is, Grievance Procedure.

About 200,000 labor-management agreements exist in the United States at the present time, and each is unique. Its specific provisions depend on the employer’s abilities of the union and the employer negotiators.

Wages and Wage Supplements

The wage provisions of the agreement specify how much the employees are to be paid in relation to particular job classifications and types of work. The provisions cover paid holidays, paid vacations, overtime rates, and hours of work. Most agreements specify minimum daily or weekly pay guarantees.

Among the most important provisions of collective bargaining agreements are those covering so-called fringe benefits, such as health insurance, sick leave, and pensions. These benefits are no longer “fringe” but are of central importance and in the United States are evolving into a private social security system. The pay rate negotiated by unions and management is, therefore, not a matter of simply deciding on the hourly rate but a complex structure of wages, job classifications and wage supplements.

Job Rights

Unions are also interested in workers’ rights on the job, which give employees a voice in determining work conditions and protect them from arbitrary acts of their superiors. Workers have the right to complain to management without fear of reprisal if they have reason to believe that some provision of the collective agreement has been violated. Another important job right- concerns discharge and discipline. In such cases, the employee must be given “just cause,” or a good reason; if the employer fails to show just cause, the worker has the right of redress through the grievance machinery. Workers are also entitled to seniority rights; length of service must be considered in determining layoffs, transfers, promotions, and vacations time.

Union Rights

A collective bargaining agreement also contains union security provisions that establish the union’s right to recognition as long as it represents a majority of the employees in a bargaining unit. Most agreements provide for a union shop, where workers are hired on the condition that they join the union and pay dues afterward. (In a CLOSED SHOP, all persons hired must already be union members. OPEN SHOPS, which are mandatory in states that have RIGHT-TO-WORK laws, do not require union membership as a condition of employment.) A check-off clause requires management to withhold union dues from employees’ pay and forward them to the union. Under federal law a union has exclusive representation in any collective bargaining unit where it has been selected by a majority of the employees. The employer may not bargain with any other union or employee group claiming to represent workers in that unit, which may be an occupation, craft, department, plant or plants, company, or companies, depending on the scope of the agreement.

Management Rights

An agreement will also contain provisions designed to protect “management’s right to manage.”
Unions in the United States say that they seek only to review management decisions, and then only those decisions that affect the terms of employment. A typical management rights provision will read, “The management of the plant and the direction of the working force, including the right to establish reasonable rules and regulations and production schedules, to hire, to promote outside the bargaining unit, and to discharge for just cause, shall be vested exclusively in the company, subject to the agreement.

Enforcement

Many unionists believe that enforcing the agreement is the most important part of the collective bargaining process and that without enforcement the written agreement is ineffective. Enforcement is administered through a functioning grievance procedure capped by ARBITRATION.

WHY JOIN A LABOR UNION?

As a worker, you have a right under federal law to form a union, select representatives of your choice and bargain collectively with your employer. This helps balance the power that an employer has over his individual employees.

Belonging to a union gives you rights under law that you do not have as an individual. Once you have formed a union, your employer must bargain with you over your wages, hours and working conditions.

Better wages

Through collective bargaining, unions have helped raise the standard of living for millions of American workers. There is a distinct economic advantage in belonging to a union and working under a union contract.

In 1994, union workers earned significantly more money than workers with union representation. The average union worker earned $556 per week in 1994 compared to only $427 per week for Non-union workers, a union advantage of 30% or $129 per week.

Union Wage Advantage

Better Pensions

Union representation means that you are more likely to be able to retire with security and dignity. Overall, 90% of full-time union workers participate in at least one retirement plan, compared to only 74% of non-represented workers. Union workers are far more likely to participate in traditional defined benefit plans – 86% for union members versus only 50% for non-union workers. Such plans are almost always financed entirely by the employer, and your retirement benefits are guaranteed by the federal government.

Better Pensions
(percent of workers with employer financed benefits)

The graph pictured here shows the union advantage in retirement security. Among union workers, 81% have defined benefit pension plans that are wholly financed by the employer. In non-union work sites only 48% of workers have defined benefit retirement plans financed by the employers.

Better Health Care

Unions have pioneered the provision of health care as an employee benefit. Virtually all union contracts provide health care coverage, often paid for entirely by the employer. Sadly, there are nearly 40 million Americans who have no health insurance. Most of these are children of employed workers, including those workers who serve our food in restaurants and take care of us in hospitals.

Better Family Health Insurance

Among union workers, 52% have family medical coverage that is wholly paid by the employer. In non-union work places, only 18% have such coverage. Similarly, with dental care, union members have significant advantage. In union work sites, 49% of workers have family dental coverage that is financed wholly by the employer. Among the non-union workers, only 19% have employer paid dental coverage.

Better Sickness & Accident Benefits

Sickness and accident benefits provide needed income to working families in the event of non-work related sickness and injury. Among union workers, 71% have sickness and accident insurance; in non-union work sites only 36% receive economic security during times of illness and injury.

A Right to Health & Safety on the Job

Work can be hazardous to your health. Far too many American workers are killed, injured and exposed to diseases on the job. Working under a union contract can improve your ability to monitor your work environment and ensure that health and safety concerns are addressed.

A voice at Work the Boss Can’t Ignore

Belonging to a union gives you rights under federal law that you do not have as an individual. Union representation provides you with the tools you need to deal with your employer from a position of strength. Belonging to a union allows you to establish a written agreement that specifies the terms of your employment. Once you have formed a union, your employer is

KNOW YOUR RIGHTS !

Congress has declared these rights the Law of the Land

It is Your Legal Right To:

  • Join a union of your choosing

  • Attend a union meeting on your own time

  • Talk to a union organizer

  • Declare yourself a union supporter

  • Assisting in forming a union

Employers Are Forbidden By Law To Engage In Certain Conduct

Your Employer May NOT Legally

  • Threaten you with discharge or punishment if you engage in union activity

  • Lay you off or discharge you for union activity

  • Prevent you soliciting members during non-working hours

  • Question you about union matters, union meetings, or union supporters

  • Ask how you intend to vote in a union election

  • Ask you whether you belong to a union or have signed up to join a union

  • Transfer you to a bad work place because of your union activity

  • Threaten to terminate your benefits because you unionize

  • Claim that winning a union will force a layoff or loss of jobs



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