Collective Bargaining: Short Term Wage Increase Equals Long Term Wage Decrease

Unions do more than raise labor costs of employers with whom they negotiate. They also reduce wages and job growth in states where they are most prevalent. That’s the conclusion of a new monograph published by the Washington, D.C. based Competitive Enterprise Institute titled “The Unintended Consequences of Collective Bargaining.” The authors, economist Lowell Gallaway…
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Employee Wrongly Terminated for Discussing Discipline with Co-Worker

An employee of a Memphis, Tennessee distribution center for Philips Electronics received a written warning at the conclusion of an investigation into a sexual harassment complaint made against him by a co-worker. A note was then placed in his personnel file indicating he was “aware that disciplinary action forms are confidential and should not be…
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IAM Causes More Drama for Boeing in North Charleston, South Carolina

About 5 years ago, Boeing, tired of having to deal with the Machinists union either threatening to, or repeatedly going on strike in Washington State, relocated its headquarters to Chicago and started producing part of its airplanes in anti-union South Carolina. As expected, IAM objected to Boeing’s decision and sought to enjoin it from relocating…
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Federal Mediation Conciliation Service Has Heavy Pro-Union Slant

The Federal Mediation Conciliation Service (FMCS) is a federal government agency that, in theory, helps companies and unions find peaceful and economical resolutions to labor disputes. The relationship between a company and the union that represents its employees can be acrimonious, which can result in work stoppages, violence, sabotage, and severe disruption to the company,…
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Do Collective Bargaining Agreements that are Silent on the Issue Guarantee Lifetime Healthcare Benefits to Retirees?

M&G Polymers USA has operated a chemical plant in West Virginia since 2000. In 2006, the Company informed its retirees that they would have to contribute to their health care costs. Displeased with this, the retirees and their union, the Steelworkers, filed a class action against M&G. On appeal, the Sixth Circuit relied heavily on…
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NLRB General Counsel and Company Seek Detailed Financial Accounting in Beck Disclosure, NLRB Members Say No

Kroger employee Laura Sands, pursuant to CWA v. Beck, notified her union, UFCW Local 700 in Indiana, that she objected to paying the full equivalent of member dues and fees. The union said her financial obligation would be reduced by about 14%. Sands did not challenge the reduction; rather, she filed an unfair labor practice…
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