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The Union-Management Framework

14. C H A P T E R. The Union-Management Framework. F O U R T E E N. What is Union??????????. A union is an organization with the legal authority to represent workers, negotiate the terms and conditions of employment with the employer, and administer the collective agreement.

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The Union-Management Framework

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  1. 14 . C H A P T E R The Union-Management Framework F O U R T E E N

  2. What is Union?????????? A union is an organization with the legal authority to represent workers, negotiate the terms and conditions of employment with the employer, and administer the collective agreement

  3. What is Collective Agreement?? A contract negotiated between union and employer, outlining terms and conditions of employment, issues such as *Wages and benefits *Hours of work *Working conditions *Grievance procedure *Safety standards *Probationary periods Work assignments

  4. Union • Unions do not just happen. They are frequently caused by management action or inaction that workers perceive as unfair

  5. Causes of UnionsWhy do Employees Join Unions? • Reasons for Not Joining • Belief that union membership may harm chances for promotion • Extra costs for union dues or strikes • Negative opinions toward unions • Fair supervisory treatment/policies • Reasons for Joining • Job dissatisfaction • Individual attitudes toward unions • Perceived union instrumentality (beliefs about what unions can do for an employee)

  6. CANADIANS’ VIEWS TOWARD UNIONS

  7. Mission to protect workers, increase their pay, improve their working conditions, and help workers in general Tries to influence the economic and social policies of government by speaking out for or against government programs Union Goals and Philosophy Business Unionism Social (Reform) Unionism

  8. Craft Unions National/International Unions • • Type of local union • Composed of workers who possess the same skills or trade • The carpenters work in the same area • Many local unions are part of a larger national or international union • Canadian Auto workers • International brotherhood of teamsters Local Unions Industrial Unions • Provides the members, the revenue, and the power of the union movement • • Type of local union • Includes the unskilled and semiskilled workers at a particular location Union Structure and Function

  9. Union Structure and Function • Canadian Labour Congress: CLC Largest labour federation with a total membership of more than 2.5 million employees • Functions: *Representing Canada at the international labour organization *Influencing public policy at the federal level *Providing services for its members Unions instruct members on workplace benefits, rights, rules and procedures, while protecting them from unjust firings and layoffs.

  10. Trends in Union Membership • Union Growth and Decline • The number of women members in Canadian unions has been increasingly rapidly (almost 50% of union members are female) • Unions are placing greater emphasis on organizing service employees, e.g., Tim Hortons in Ontario, some Starbucks in BC • Quebec has the highest rate (36.9%) of unionization; Alberta (21.8%) has the lowest union density

  11. Trends in Union Membership • Part-time workers are less likely to be unionized (23.3%) than full-time workers (31.5%) • Larger workplaces are more likely to be unionized • Global Trends • A number of countries have experienced a decline in union density

  12. • Most collective agreements are settled without a strike or lockout • Higher wages, particularly for part-time employees • More comprehensive benefits • Relationship between unionization and productivity is subject to debate *Reduce employee turnover *Raise productivity or output per worker Impact of Union Representation Strikes Wages & benefits Productivity

  13. THE LEGAL ENVIRONMENT • Federal jurisdiction over labour relations is limited to organizations involved in interprovincial trade and commerce (e.g., banks, • airlines, • railways, • federal government agencies).

  14. THE LEGAL ENVIRONMENTCanadian Labour Legislation Right to join a union Common Core of Labour Legislation Conciliation Before strike or lockout Good-faith bargaining Prohibition of unfair labour practices No strikes or lockouts during agreement

  15. Labour Relations Boards Boards set up in the federal and all provincial jurisdictions to administer labour relations legislation Investigate violation of the law and have the power to investigate and make decisions, e.g., enforce unfair labour practice allegations

  16. ENVIRONMENTAL FACTORS THAT MAY LEAD TO UNIONIZATION • External Factors • Recent changes in labour laws • Increase in unionization activity • Major increase in the workforce is planned • Internal Factors • High turnover and absenteeism rates • Employees are dissatisfied • Pay and benefits are below average • Complaint procedures are ineffective

  17. Unfair Labour Practices by…… Management Unions • Interfering in the formation of a union or contributing financially • Discriminating based on union membership or because employee exercises rights • Intimidating an employee to join/not join • Trying to bargain when the union is not the certified agent • Persuading employees during working hours, or at the workplace to join/not join • Engaging in, encouragingIllegal strikes • Failing to represent employees fairly

  18. Obtaining Bargaining Rights • Legal recognition may be obtained in 3 ways: • Voluntary recognition:If a union organised a majority of employees and the employer is satisfied that union did not apply undue pressure in the organisation process. The employer then accepts the union as the legal rights to bargaining agent without any third party involvement • Certification by a labour relation Board Alberta , British Colombia, Newfoundland, Nova Scotia and Ontario do not automatically certify unions rather go for election whether union has got sufficient support

  19. Obtaining Bargaining Rights • Prehearing votes: When there are significant indications that an employer has committed unfair labour practices to prevent unionization. In such case a union can ask an LRB to conduct a prehearing vote.

  20. NEGOTIATING A COLLECTIVE AGREEMENT • Once a union is certified, the union and management are required to bargain in good faith to negotiate a collective agreement. The collective bargaining process has three overlapping phases: • Phase 1—Preparation for Negotiations Often the most critical stage,Detailed preparations are required to achieve objectives • Phase 2—Negotiating with the Union Face-to-face bargaining • Phase 3—Approving the Proposed Agreement • Bargaining stage of negotiations is completed when the agreement has been approved

  21. Phase 1 Phase 2 Phase 3 Preparing for negotiations Negotiating with the union Approving the proposed agreement 3 Phases of Collective Bargaining

  22. Mutual Gains Bargaining • Moves away from traditional adversarial approach • Win-win approach • Joint problem-solving activities • Usually preceded by conflict resolution training • Requires both parties to have commitment, trust, respect & a long-term focus

  23. Conciliation • All jurisdictions provide for conciliation and mediation services when labour and management negotiations break down • Conciliation • A government-appointed third party attempts to bring together the parties to reconcile their differences • Appointed at the request of either one or both parties or at the discretion of the minister of labour (federal or provincial) • In most provinces, no strike action is permitted before a conciliation effort has been made

  24. Mediation Process whereby disputing parties choose voluntarily to reconcile their differences through a third party

  25. Administering the Collective Agreement • Grievance • is a complaint by an employee or employer that alleges that some aspect of a collective agreement has been violated • Grievance procedures • Most collective agreements include formal multi-step procedures to resolve grievances

  26. Administering the Collective Agreement • Arbitration • is used to resolve a grievance when an acceptable solution cannot be reached. Process may be costly, highly legalistic and is final i.e. usually cannot be changed or revised

  27. Contract Provisions Union Shop: a union security provision in which employers may hire anyone they want, but all workers must join the union within a specified period Dues check-off is a common provision in collective agreements and requires an employer to deduct union dues at source from the wages of an employee and remit the funds to the union

  28. Contract Provisions • Seniority—length of the worker’s employment, which may be used for determining order of promotion, layoffs, vacation, etc. • Discipline—employer must have “just cause” to discipline or discharge an employee is a feature of many collective agreements

  29. Implications (proposition) of Union Avoidance • In non-union facilities, an implicit objective of many employers is to remain non-union • Union Suppression • Involves fighting union representation • An employer may try to intimidate workers, threaten closing or moving the plant or facility, or discriminate against union supporters Union Substitution

  30. Implications of Union Avoidance • Union Substitution • Examines what unions bring to the employment relationship and tries to introduce these features into the non-union workplace • Advocated by many HR practitioners, consultants, and labour lawyers

  31. Implications of Union Avoidance • Features of Union Substitution • Design satisfying jobs i.e. personally satisfying toemployees • Maximize opportunities—develop plans that maximize individual opportunities while minimizing possibility of layoffs • Select qualified workers • Establish fair standards of individual performance • Train workers and managers to enable them to achieve expected levels of performance • Evaluate based on performance • Employee “voice” i.e. provide employees with a “voice” in the workplace • Pay and benefits are parallel to those available in the union sector

  32. Design satisfying jobs Pay/benefits are parallel Maximize opportunities Employees have “voice” Select qualified workers Evaluate based on performance Establish fair standards Train workers & managers Features of Union Substitution Union Substitution

  33. Managing in a Union Environment • There is increasing acceptance that labour and management must cooperate and work together in order to survive and prosper in the highly competitive global economy • There is growing evidence that organizational performance is enhanced when labour and management cooperate

  34. Managing in a Union Environment Unions impact the HRM function: • HR department may expand to add labour relations specialists • Greater centralization of employee record-keeping and discipline to ensure uniformity • Line managers lose some authority to HR • Management has less freedom

  35. Labour-Management Cooperation • Organizational performance is enhanced when labour and management cooperate • Cooperative methods include: • Prior consultation • Sincere concern • Training programs • Joint study committees • Third parties

  36. 14 . C H A P T E R The Union-Management Framework F O U R T E E N

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