Introduction As companies look to expand operations and hire new employees, many economic and environmental factors are taken into consideration. The cost of labor is one of the primary concerns as labor generally constitutes a large part of company budgets. The organization of labor by unions further increases this concern. The wages of unionized workers are significantly higher than the wages of nonunion workers in almost every industry (Fossum, 2012). Higher wages generally result in reduced company profits, lower share prices, and reduced shareholder returns (Fossum, 2012). Unionization also reduces the employer’s flexibility with regards to hiring, transferring, or promoting employees (Fossum, 2012). Productivity may be negatively impacted by unionization because merit is often eliminated as a criterion for wage increases or promotions (Fossum, 2012). As a result of these negative impacts, employers are motivated to oppose unionization. The case study of GMFC provides an example of a company attempting to avoid unionization of its workers. GMFC is expanding by building a new U.S. plant which will manufacture motorized recreational equipment. The company plans to hire about 500 production workers to assemble mechanical components, fabricate fiberglass body parts, and assemble the final products. In order to avoid the expected union campaign by the United Automobile Workers (UAW) to organize its workers, GMFC must implement specific strategies to keep the new plant union-free. GMFC’s planning committee offers suggestions with regards to the plant’s size, location, staffing, wages and benefits, and other employee relations issues in order to defend the company against the negative effects of unionization and increase... ... middle of paper ... ...pment, structure, process. (11th ed.). McGraw‐Hill. ISBN: 978‐0078029158 Graham, L. A. (2008). How foreign-owned auto plants remain union-free. New Labor Forum (Murphy Institute), 17(3), 58-66. doi:10.1080/10957960802362738 McMahon, T. (2012). State of the anti-union (cover story). Maclean's, 125(13/14), 54. Saltzman, G. M. (1995). Job applicant screening by a Japanese transplant: A union-avoidance tactic. Industrial & Labor Relations Review, 49(1), 88. Retrieved from http://search.proquest.com/docview/236383911?accountid=38569 Selecting new employees in nonunion operations. (1996). Management Report for Nonunion Organizations (Wiley), 19(5), 5-6. Three keys to union prevention. (1996). Management Report for Nonunion Organizations (Wiley), 19(3), 6. Union-prevention strategy: Sell your benefits. (2010). Management Report for Nonunion Organizations (Wiley), 33(9), 6.
Tensions between union supporters and management began mounting in the years preceding the strike. In April of 1994, the International Union led a three-week strike against major tracking companies in the freight hauling industry in attempts to stop management from creating $9 per hour part-time positions. This would only foreshadow battles to come between management and union. Later, in 1995, teamsters mounted an unprecedented national union campaign in attempts to defeat the labor-management “cooperation” scheme that UPS management tried to establish in order to weaken the union before contract talks (Witt, Wilson). This strike was distinguished from other strikes of recent years in that it was an offensive strike, not a defensive one. It was a struggle in which the union was prepared, fought over issues which it defined, and one which relied overwhelmingly on the efforts of the members themselves (http://www.igc.org/dbacon/Strikes/07ups.htm).
The Industrial Revolution that took place after the Civil War made for a more economically sound country. American workers, however, were becoming more and more dependent upon their wages; a fear of unemployment also stemmed from this. Workers didn’t share in the benefits that their employers reaped. In a chart representing the hours and wages of industrial workers, from 1875 to 1891, it shows that even though their wages were subtly increasing, their 10-hour work day remained the same (Doc. A). Factories were headed by large corporations; this, in turn, meant that new machines lessened the amount of workers in certain fields. As a result of these unsuitable conditions, labor unions were formed. The challenges that these unions faced weren’t easy. If the workers involved in organized labor got too far out of line, these corporations could get federal authorities involved. Moreover, these companies could enforce “ironclad oaths” upon their employees. In a Western Union Telegraph Company employee contract, in 1883, it states that the employee will not be affiliated with any societies or organizations (Doc. E). Despite such setbacks, by 1872 there were over 32 national unions.
Throughout the history of the United States of America the continuation of misfortunes for the workforce has aggravated people to their apex, eventually leading to the development of labor unions.
Unions have an extensive history of standing up for workers. They have advocated rights of steelworkers, coal miners, clothing factory employees, teachers, health care workers, and many others. The labor movement is based on the idea that organized workers as a group have more power than individuals would have on their own. The key purpose of any union is to negotiate contracts, making sure workers are respected and fairly compensated for their work. “In theory” unions are democratic organizations, resulting in varying inner authority. Workers look for security within a job a...
The documentary Final Offer (1985) covers the 1984 contract negotiations between the United Auto Workers Union (UAW) and General Motors (GM). The film follows head and chief negotiator of the Canadian chapter of the UAW, Bob White, as he attempts to negotiate a reasonable contract with GM management for the Canadian union members. In contrast to the films previously mentioned, opposition comes not only from management, but from union members and even the American sector of the UAW. During contract negotiations, the ability to strike is a significant bargain tool for the Bob White as it gives him power over the managers. As the contract negotiations begin to threaten American jobs, the main branch of the UAW threatens to pull strike authorization. Clearly, contract negotiations can be a complex procedure as many factions and conflicting interests prove to be a challenge. The film contains many other details relevant to the collect bargaining process. Fraundorf (1990) lists some of these
The paper will discuss minicases on ‘The White-Collar Union Organizer’ and ‘The Frustrated Labor Historians’ by Arthur A. Sloane and Fred Witney (2010), to understand the issues unions undergo in the marketplace. There is no predetermined statistical number reported of union memberships in this country. However, “the United Bureau of Labor Statistics (BLS) excludes almost 2 million U.S wages and salary employees, over half of whom are employed in the public sector, who are represented at their workplaces by a union but are not union members. Not being required to join a union as a condition of continued employment, these employees have for a variety of reasons chosen not to do so. Nor do the BLS estimates include union members who are currently unemployed” (Sloane & Witney, 2010, p.5). Given this important information, the examination of these minicases will provide answers to the problems unions face in organizational settings.
This essay examines both the advantages and disadvantages of unions and non-unions in the organizational environments. It discusses the differing effects unions and non-unions have in regards to communication, morale, productivity, and employee management relations within the workplace. It also looks at the role unions have in private industry and how the changing plane of their respective industries impacts them. In addition to this, it looks at why these big changes are taking place and the numerous reasons for them. The landscape of unions and non-unions is shifting and this research essay looks at the overall effect the corresponding changes will have in the future of Canada.
...stablish new strategies that will enhance their impact and relevance in the marketplace. The limitation of this study is the relative bias in existing literature regarding the impact and significance of labor unions in the workplace. The existing literature has primarily focused on why labor unions are old-fashioned impediments to progress rather than crucial elements for promoting and protecting workplace benefits. In essence, the available literature makes it difficult to conduct a balanced study on the issue. The findings in this research can be used as the first step towards an objective and balanced evaluation of the relevance and significance of labor unions in the workplace. The findings can also be used to develop effective strategies that would ensure that these organizations continue to achieve their goals while transforming based on existing changes.
It has been certainly established that globally, unionization has declined. This paper discusses the trends and the factors that led to the decline in unionization worldwide
Cindy you bring to light some interesting points about return on investment for unionized facilities. Based on your writing it is clear that companies as well as unions must be happy with their situation as it relates to performance and compensation models. You mention that it employees are not happy they will seek union representation to mitigate their concerns. I don’t necessarily agree that this is the only way to iron out employee issues. One way to do this without employing union representation, is to have an employee counsel that works directly with company management to apply both company wants and employee needs. These employee councils can easily relate to the local labor needs and quickly react to company requirements. Whereas union
Flanagan, R. J. (2005). Has Management Strangled U.S. Unions? Journal of Labor Research, 26(1), 33-63.
General Motors (GM) has earmarked $554 million dollars for production at Canadian Unifor union staffed plants. The firm will invest the bulk of the funds in the Oshawa and St. Catherine’s facilities. Unifor reached this tentative agreement just short last Monday’s deadline. Union members are voting whether to accept the deal today. Although, the agreement has reached a vote, both sides made confessions. The voter is significant in that it will affect works at Fiat Chrysler and Ford if ratified, as these two manufacturers are next on Unifor’s agenda. (See also, General Motors Reaches Agreement With Canadian Labor Union)
The advantage of unionized workforce is better wages, shorter workweek, and safer workplace. According to U.S. Bureau of Labor Statistics the medium weekly income for full time employee in 2010 for a union worker was $917 compared to $717 non-union worker. In addition, a survey taken by the National Compensation Survey in 2009 that 93% of unionized workers were entitled for benefits compared to 69% of non-union workers represented by 101 million private industry workers and 19 million local and state government workers. Unionized workers has more power as a cohesive group compared to an individual which can help negotiate better wages, improve health and safety issues, benefits and working condition with the management of the company (Keller,
Unions allow the workers to ask for their rights as employees. Unions can enforce job security standard in a relatively fast and inexpensive forum. Unions can contest disparate treat...
The laws and regulations surrounding Industrial Relations since the 1900’s have, at each reform, placed tighter constraints on the amount of power unions are able to exert. The reforms have also radically increased managerial prerogative, through an increased use of individual bargaining, contracts and restrictions imposed on unions (Bray and Waring, 2006). Bray and W...