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EFCA Basics for Managers: Labor Law Changes

Unveiling the impact of the Employee Free Choice Act on labor unions, management, and workplace dynamics. Stay informed, prepared, and ready to respond with CAI's valuable resources.

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EFCA Basics for Managers: Labor Law Changes

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  1. EFCA Basics for Managers How the “Employee Free Choice Act” Changes Labor Law (HR800 as of October, 2008)

  2. Labor unions don’t like losing • Labor unions lose most elections • Even when they win, they often fail to reach favorable contract terms (or any terms at all) • Why? • Employers know the importance of a fair and respectful workplace • Unions have little/no real value to offer

  3. Money talks • Union political clout has grown with the size of their contributions • The number one Congressional priority of Labor is the Employee Free Choice Act (HR800) • Narrowly failed in 2007; waiting on the elections November ‘08 • Nothing FREE about it

  4. What would EFCA do? • It adds Sec. 9(c)(6,7) to the National Labor Relations Act: let’s call it the Forced Choice provision • Simply stated, no more secret ballot elections on unionization if the union gets 50% plus one to sign a card or petition • All they need is the cards • In “an appropriate unit”, meaning it could be a department or part of a location

  5. What’s wrong with that? • Goes against the grain of American culture PLUS union members polled don’t like it either! • Subjects the card signers to scrutiny and pressure (even threats) that are minimized in a private ballot booth election.

  6. What else? • It adds Sec. 8(h) to the NLRA: let’s call it the Forced Contract provision • First, sit down. • If no contract is reached within about 120 days from the union card victory, it may demand (and get) a panel of arbitrators to hear both sides and decide EVERY disputed term of your new contract. • You will live with this result for two years.

  7. More? • Yes, there’s more. • It amends Sec. 10 and 12 of the NLRA: call it the Forced Muzzle. • By raising penalties and finesto unheard of levels, unions hope to keep employers and their managers from speaking out against the union attempt in fear of making a mistake and suffering the consequences

  8. Example • How will it affect your desire to be free and open in your conversations with employees if you know you could be fined $20,000 per incident for unintended slip-ups like asking an employee how they feel about the union? • Even if you didn’t ask that prohibited question, employers routinely lose such claims when accused (no fines today)

  9. How would things be different? • Dozens of implications • Quick, ill-informed and coerced choices by employees • Surprised employers unable to respond • Lack of a known election day/finality • Arbitration of your workplace terms by law professors, academics and grievance arbitrators (or a hurried contract with unintended consequences for all)

  10. How would things be different? • New opportunities to attack non-traditional union targets due to stealth tactics and smaller units • Bad news or policy changes can trigger quick card signing activity • A renewed emphasis on preparedness and knowing employee engagement/opinions • An extra premium on manager skills and communication capabilities

  11. Some questions to consider • How does this affect employee/new hire communications now and later? • What/when/how/who? • What training might help our managers? • Are you ready to respond if cards appear? • Do you have a point person to stay informed and connected to CAI on this?

  12. CAI • We are members of CAI • Pre-passage, CAI will keep us informed of developments • CAI will train us on union issues and management skills at our request, and survey our employee opinions • If it is passed, effective communication resources, assistance, video and materials will be ready

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