Download Labor History and Unionization: From Colonial Era to Modern Times - Prof. Yunchen Morgan and more Exams Introduction to Business Management in PDF only on Docsity! CH. 1 Contemporary labor relations Promotes competition Why are labor unions declining? Markets are more competitive i. Weakens power of unions Physical capital in the service industry is less fixed Govt regulations and superior labor market institutions make unions less necessary Distinction b/t management and labor is more blurred (in service) Spillover: practices being used by a union is adopted by other orgs. Non-unionized organization: employees don't belong to a union (ex: Wal-Mart) Collective behavior Sticking together to improve working conditions and wages Happens only when union members share a background Easier to come together and fight for the same cause Catalyst for organization These things influence a person's willingness to join a union The lower the education and income level reflect a higher willingness to join a union Beliefs about unions People have positive and negative opinions about unions Unions can sometimes make products more expensive for consumers and that makes a company less competitive Can cause a decline in the worth of "hard work" and "ability"; gives a preference to seniority CH. 2 Colonial and Pre-industrial era Indentured servants: people who agree to work for someone, usually for a period of seven years, to pay back a debt or serve a sentence for a crime; usually unskilled laborers Labor shortage Shortage of skilled laborers Can command high fees and earn higher wages Early unionism A move to machine power during the Industrial Revolution replaced human power Lived in decrepit white clapboard homes No schooling for children so they grew up to be illiterate Worked 16 hour days First trade unions Trade union: made of skilled workers (craft unions) Types of unions Uplift unionism: social issues aimed at better education and economic outcomes for workers and labor management systems Revolutionary unionism: overthrowing capitalist system replaced with worker control of industry Business unionism: representation of employee's immediate interests, like hours, wages, working conditions, etc... (most unions today) Predatory unionism: primary goal is to enhance itself at the expense of the workers it represents Conspiracy Doctrine Doctrine: a document of rules associated with legal concepts related to a case Commonwealth v Pullis Court decided that members of a union collectively bargaining are eliminating the natural operations of the market through competition (1806) Marks the overall early effort to resist unions Pre-Civil War Organizing Efforts Series of failed unions in this era Working conditions start to improve "Work from can't see to can't see" Horace Greeley The Means-Ends Doctrine Commonwealth v Hunt (1842) Union activities are not illegal; investigate unions individually Yellow-dog contract: a contract employers would force the employees to sign where they agree to not join any unions or participate in any union activities or they could get fired Provided a basis for legal action against unionization Labor Wars (1860-1910) Molly Maguires: an Irish miner's union The Haymarket Affair (Chicago): employer tried to cut costs by doing a lock-out where they lock out the employees and prevent them from working; during the demonstrations, eight people were killed The Homestead Strike (Pittsburgh): owner of Carnegie Steel Company wanted to cut costs by reducing wages and the employees went on strike. The company hired Pinkertons (private security guards); 24 people died The Pullman Strike (Pullman, Illinois): the government stepped in because the strike interfered with the delivery of mail b/c of the striking railroad employees Birth of National Unions NLU (first one): established 8 hour vs. 16 hour work day Knights of Labor: believed all workers' common interests must be met and be included in the primary objectives of a single union AFL 1800's 1. Courts viewed unions with hostility and suspicion 1. Had trouble fitting union activities into a constitutional system 1. Legal challenges to union action were largely confined to local and state court. There was little or no federal involvement in labor relations during this time. Sherman Antitrust Act: Used by employers seeking restriction on union activity Clayton Act: Unions hoped that this act lead to an end in labor injunctions but failed. Rights to Collective Bargaining 1926: Railway Labor Act Specified railway employee’s rights to organize and bargain collectively. Still active today Air transportation industry later included Railroad employers are obligated to bargain with representatives. Establish variety of procedures to reduce conflict 1932: Norris-LaGuardia Act Stronger endorsement to collective bargaining Private sector employees received these rights: freedom of association, self-organization, negotiate terms and conditions of employment Court power was limited by this act: the power to intervene in labor disputes Congress: supported the act, this was done with the intentions to help improve the economy Neutral because it didn’t grant unions new legal rights. Specified, but not grant new. Granted more freedom to unions. 1933: National Industrial Recovery Act Used as a plan of recovery Provided business people to come up with their own rules, stipulation, and plans. Less regulation on price in hopes to recover No interference Supreme Court rules that congress had too much power and rule the act as unconstitutional 1935 National Labor Relations Act (NRLA) US policy to encourage collective bargaining Employer: any person acting in interest of an employer, Employee: individuals that lost their jobs due to unfair labor practices/current employees, Supervisor: person with individual authority, to hire, transfer, fire, and promote may belong to a union, but a group of supervisors may not organize and bargain collectively. Professional Employee: person engaged in work predominantly intellectual with exercise of discretion and judgment. Secondary boycott is illegal. Secondary boycott is boycotting against a supplier or affiliate of an company. Unions can’t perform unfair labor practices: excessive fees, unions can’t force employers to discuss illegal subjects during bargaining: closed shop (including a qualified candidate in a union but not hired yet), racial discrimination. Same for Employers: Interference with union activity rights, discrimination based on union views. 1947: Taft-Hartley Act Primary concern: internal practices of unions (funding, how supervisors are elected) Protect union members from illegal union practices; regulate union fees and dues Requires every union to report financial info to US Dept of Labor 1959: Landrum-Griffin Act Trusteeship: local union's autonomy is taken away/suspended (temporary) Collective Bargaining Political rationale: being a democracy, citizens have the right to negotiate their salaries and benefits Public Sector Labor Law (govt) NLRA (private sector: privately owned and operated) Public corporations (state owned enterprise): subject to control by govt units (schools, transportation, police, military…) 1962 Executive Order 10988: collective bargaining rights extended to the public sector 1978 Civil Service Reform Act: Federal Labor Relations Authority (oversees and regulates conduct of collective bargaining in the federal sector) Employment at Will Grievance procedure: how an employee can complain about something Due process is through collective bargaining and grievance procedures Employment-at-will is in the absence of unions Scope of doctrine When there is no written contract, no specified term of employment or no employee handbook When the expiration of a collective bargaining agreement limits claims against an employer When an employee handbook is insufficient to establish exceptions to the employment-at-will doctrine Exceptions imposed by state courts When an employer's written policies constitute an implied contract providing employment security When a firm promises employment security in an oral or written agreement or through actions that lead employees to expect employment security When an employee is fired for refusing to violate a statutory policy Employment Law FLSA (1938): to regulate employment conditions like hour minimum wages and pensions Substantive regulation: federal minimum wage, overtime hours/wage CRL (1964): prohibits discrimination in employment on the basis of race, color, national origin or sex OSHA (1970): established standards for on the job safety and health ERISA (1974): established standards for private pension plans ADA (1990): unlawful to discriminate against a qualified individual with a disability ; must make accommodations (ramp for those in a wheelchair) FMLA (1993): established the standard that companies with 50+ employees must grant employees up to 12 weeks of unpaid leave if they are ill or close family member is ill Affirmative Action Actively searching for qualified individuals who have had a history of being discriminated against Two realms In the federal setting: must submit timetables or hiring goals according to the US Dept of Labor; hiring goals that are representative of the national labor market Public and private firms: required to establish timetables and hiring goals; determined by individual courts Important Administrative Agencies NLRB Designating bargaining units Conducting representation elections Investigating unfair labor practice charges DOL Serves as the advisor to the President on labor issues Conducts research and collects data on labor matters Oversees the administration of regulations concerning equal employment opportunity, health and safety and internal unions affairs FMCS: all first mediation services to labor and management in their collective bargaining activities NMB: oversees union representation and provides mediation services to the parties during impasses CH. 6 Election Unit Narrow (all the same occupations) or broad unit Want to include supervisor/manager or group all of them into single election unit but according the Taft-Hartley Law, managers cannot form their own union Union Decertification The Debate over Labor Law Reform