HRM 5th chapter 14 the dynamics of labour relations

The Dynamics of Labour Relations Managing Human Resources Belcourt * Bohlander * Snell 5th Canadian edition PowerPoint Presentation by Copyright © 2008 by Nelson, a division of Thomson Canada Limited All rights reserved Monica Belcourt, York University and Charlie Cook, The University of West Alabama Objectives After studying this chapter, you should be able to: Identify and explain the federal and provincial legislation that provide the framework for labour relations Explain the reasons employees join unions Describe the process by which unions organize employees and gain recognition as their bargaining agent Discuss the bargaining process and the bargaining goals and strategies of a union and an employer Copyright © 2008 by Nelson, a 14–2 Objectives (cont’d) After studying this chapter, you should be able to: Differentiate the forms of bargaining power that a union and an employer may utilize to enforce their bargaining demands Describe a typical union grievance procedure and explain the basis for arbitration awards Copyright © 2008 by Nelson, a 14–3 Government Regulation of Labour Relations • The Industrial Relations Disputes and Investigation Act • Canada Labour Code Copyright © 2008 by Nelson, a 14–4 Labour Relations Board • Administrating the statutory procedures for the acquisition, transfer and termination of bargaining rights • Hearing complaints related to unfair labour practices • Supervising strikes and lock out votes • Determining whether bargaining was done in good faith • Remedying violations of collective bargaining legislation Copyright © 2008 by Nelson, a 14–5 Labor Relations Process Workers desire collective representation Union begins its organizing campaign Collective negotiations lead to a contract The contract is administered Copyright © 2008 by Nelson, a 14–6 Why Employees Unionize • As a result of economic needs (wages and benefits) • Dissatisfaction with managerial practices • To fulfill social and status needs • Unionism is viewed as a way to achieve results they cannot achieve acting individually • To comply with union-shop provisions of the collective agreement in effect where they work Copyright © 2008 by Nelson, a 14–7 The Labour Relations Process Figure 14.1 Copyright © 2008 by Nelson, a 14–8 Organizing Campaigns Steps Stepsin inthe the Organizing Organizing Process Process Union/Employee Union/EmployeeContact Contact Initial Initial Organizational Organizational Meeting Meeting Formation Formationof of In-House In-House Committee Committee Application Applicationto tolabour labour relations relationsboard boardand and issuance issuanceof ofcertificate certificate Election Election of ofbargaining bargaining committee committeeand and contract contract negotiations negotiations Copyright © 2008 by Nelson, a 14–9 United Food and Commercial Workers International Union Authorization Card Copyright © 2008 by Nelson, a 14–10 Labour Relations in the Public Sector • Political nature of the labour management relationship  Alternate services are not available  Source of management authority  Strikes in public sector- essential services Copyright © 2008 by Nelson, a 14–22 Types of Arbitration • Compulsory Binding Arbitration  A process for employees such as police officers, firefighters, and others in jobs where strikes cannot be tolerated to reach agreement • Final-offer Arbitration  The arbitrator must select one or the other of the final offers submitted by the disputing parties with the award is likely to go to the party whose final bargaining offer has moved the closest toward a reasonable settlement Copyright © 2008 by Nelson, a 14–23 The Collective Bargaining Process Figure 14.4 Copyright © 2008 by Nelson, a 14–24 The Bargaining Process • Collective Bargaining Process  The process of negotiating a collective agreement, including the use of economic pressures by both parties • Bargaining Zone  Area within which the union and the employer are willing to concede when bargaining • Interest-based Bargaining  Problem-solving bargaining based on a win-win philosophy and the development of a positive longterm relationship Copyright © 2008 by Nelson, a 14–25 The Bargaining Zone and Negotiation Influences Figure 14.5 Source: Adapted from Ross Stagner and Hjalmar Rosen, Psychology of Union-Management Relations (Belmont, CA: Wadsworth Publishing Company, 1965), 96 Adapted with permission from Brooks/Cole Publishing Co Copyright © 2008 by Nelson, a 14–26 Highlights in HRM Items in a Collective Agreement Typical clauses will cover • Wages • Grievance procedures • Vacations • Holidays • Work schedules • Management rights • Union security • Transfers • Discipline • Training • No strike/no lockout clause • Overtime • Safety procedures • Severance pay • Seniority • Pensions and benefits • Outsourcing Copyright © 2008 by Nelson, a Progressive clauses will cover • Employee access to records • Limitations on use of performance evaluation • Elder care leave, child care, workfamily balance provisions • Flexible medical spending accounts • Protection against hazards of technology equipment • Limitations against electronic monitoring • Bilingual stipends • Bilingual stipends • Domestic partnership benefits Highlights 14.7 14–27 Management and Union Power in Collective Bargaining • Bargaining Power  The power of labour and management to achieve their goals through economic, social, or political influence • Union Bargaining Power  Strikes, pickets, and boycotts • Management Bargaining Power  Hiring replacement workers, where allowed  Continuing operations staffed by management  Locking out employees Copyright © 2008 by Nelson, a 14–28 Union Power in Collective Bargaining On ke Stri Unfair Boycott Our Employer Don’t er e H y u B This Union On Strike Striking Boycotting Copyright © 2008 by Nelson, a Picketing 14–29 Employer Power in Collective Bargaining Management Management methods methodsfor forapplying applying economic economicpressure pressureduring during bargaining: bargaining: Outsourcing Outsourcing normal normalwork work Locking Lockingout outworkers workers Hiring Hiring replacement replacementworkers, workers, where whereallowed allowed Demanding Demanding concessions concessions Copyright © 2008 by Nelson, a 14–30 Union Security Agreements • Dues Checkoff  Gives the employer the responsibility of withholding union dues from the paychecks of union members who agree to such a deduction • “Shop” Agreements  Require employees to join or support the union  Union shop requires employee membership  Agency shop allows voluntary membership; employee must pay union dues and fees Copyright © 2008 by Nelson, a 14–31 Administration of the Collective Agreement • Negotiated grievance procedures • The grievance procedure is a formal procedure that provides for the union to represent members and non-members in processing a grievance Copyright © 2008 by Nelson, a 14–32 Grievance Arbitration • Rights Arbitration  Arbitration over interpretation of the meaning of contract terms or employee work grievances • Submission to arbitrate  Statement that describes the issues to be resolved through arbitration Copyright © 2008 by Nelson, a 14–33 The Arbitration Hearing • The arbitrator declares the hearing open and obtains the submission to arbitrate • Parties present opening statements • Each side presents its case using witnesses and evidence; witnesses can be cross examined • Parties make closing statements • Arbitrator closes hearing and designates date and time for rendering the award Copyright © 2008 by Nelson, a 14–34 The Arbitration Award • Four factors arbitrators use to decide cases:  The wording of the collective agreement (or employment policy in nonunion organizations)  The submission to arbitrate (statement of problem to be solved) as presented to the arbitrator  Testimony and evidence offered during the hearing  Arbitration criteria or standards (similar to standards of common law) against which cases are judged Copyright © 2008 by Nelson, a 14–35 Key Terms • • • • • • • • • arbitration award arbitrator authorization card bargaining power bargaining unit bargaining zone business agent collective bargaining process compulsory binding arbitration • craft unions • employee associations • final offer arbitration Copyright © 2008 by Nelson, a • • • • • • • • grievance procedure industrial unions interest-based bargaining labour relations process management rights rights arbitration submission to arbitrate unfair labour practices (ULPs) • union shop • union steward 14–36 [...]... reach agreement • Final-offer Arbitration  The arbitrator must select one or the other of the final offers submitted by the disputing parties with the award is likely to go to the party whose final bargaining offer has moved the closest toward a reasonable settlement Copyright © 2008 by Nelson, a 14 23 The Collective Bargaining Process Figure 14. 4 Copyright © 2008 by Nelson, a 14 24 The Bargaining Process... Copyright © 2008 by Nelson, a 14 20 Structure and Functions of Local Unions • Local Officers  Elected officials who lead the union and serve on the bargaining committee for a new contract • Union Steward  An employee, as a nonpaid union official, represents the interests of members in their relations with management • Business Unionism  The term applied to the goals of labour organizations, which... Nelson, a 14 21 Labour Relations in the Public Sector • Political nature of the labour management relationship  Alternate services are not available  Source of management authority  Strikes in public sector- essential services Copyright © 2008 by Nelson, a 14 22 Types of Arbitration • Compulsory Binding Arbitration  A process for employees such as police officers, firefighters, and others in jobs... by Nelson, a 14 13 How Employees Become Unionized • Voluntary recognition • Regular certification • Prehearing votes Copyright © 2008 by Nelson, a 14 14 Contract Negotiation • Once the bargaining unit has been certified by the labour relations board, the employer and the union must bargain in good faith over the terms and conditions of a collective agreement Copyright © 2008 by Nelson, a 14 15 Decertification... Decertification • If the majority of employees indicate that they do not want to be represented by the union or • They want to be represented by another union or • If the union failed to bargain Copyright © 2008 by Nelson, a 14 16 Impact of Unionization on Managers • Challenges to Management Prerogatives  Management prerogatives versus union participation in decision-making in the work place • Loss of Supervisory... Process  The process of negotiating a collective agreement, including the use of economic pressures by both parties • Bargaining Zone  Area within which the union and the employer are willing to concede when bargaining • Interest-based Bargaining  Problem-solving bargaining based on a win-win philosophy and the development of a positive longterm relationship Copyright © 2008 by Nelson, a 14 25 The Bargaining... date and time for rendering the award Copyright © 2008 by Nelson, a 14 34 The Arbitration Award • Four factors arbitrators use to decide cases:  The wording of the collective agreement (or employment policy in nonunion organizations)  The submission to arbitrate (statement of problem to be solved) as presented to the arbitrator  Testimony and evidence offered during the hearing  Arbitration criteria... Employee associations  Labour organizations that represent various groups of professional and white-collar employees in labourmanagement relations Copyright © 2008 by Nelson, a 14 18 Types of Unions • The Canadian Labour Congress • International and National unions • Local unions Copyright © 2008 by Nelson, a 14 19 Typical Organization of a Local Union Local LocalUnion UnionMeeting Meeting (Normally (NormallyMonthly)... spying on employee-union gatherings, or questioning employees about the content of union meetings • Questioning present or current employees about their union sentiments, particularly about how they might vote in a union election • Threatening or terminating employees for their union support or beliefs • Changing the working conditions of employees because they actively work for the union or simply support... Copyright © 2008 by Nelson, a 14 31 Administration of the Collective Agreement • Negotiated grievance procedures • The grievance procedure is a formal procedure that provides for the union to represent members and non-members in processing a grievance Copyright © 2008 by Nelson, a 14 32 Grievance Arbitration • Rights Arbitration  Arbitration over interpretation of the meaning of contract terms or employee