Industrial Relations in Usa1

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INDUSTRIAL RELATIONS INU.S.A

Prepared by Anjali JayadevHRR3035Section E



INTRODUCTION

Industrial relation: A) Management : Labour Costs, productivity and

profitability

B) Workers and representatives: High wages andbenefits, safe working conditions and a voice inthe workplace

In USA, industrial relation governed byNational Labor Relation Act 1935



G ROWTH OF INDUSTRIAL RELATIONSYSTEM

a) Collective Bargaining

b) Strike( Boston Telephone Strike-1912):telephonerates increased but telephone operators salary

half of that of govt clerk

c) Right to Organise granted by AmericanConstitution: G rowth of Trade Union and free

bargaining



TRADE UNION OR G ANISATION

Pyramidical manner:(1) Local unions(2) Intermediate bodies at regional or industry level(3) National unions

Labour unions developed:Ownership rights in jobsIncrease job security



Local Union:Works as collectors of fees and dues, solve importantgrievances initiallyCollective contracts ratified by majority vote of localunion before becoming effectiveBuilding construction, building services etc local unionpower to call strike and negotiate agreements without

formal approval from National UnionOfficers of Local union- President, Vice President etcelected

National Union:Size varies according to number and size of affiliatesComplete autonomy in fixing dues, formulate policies,negotiating agreements, calling strikes and organisenew local unions



Two important Central organizations:1) AFL ( American Federation of Labour)-1886

Samuel G ompers- FounderIst and largest federation of Unions in USA The Federation of Organized Trades and LaborUnions merged to form AFL

Craft union and not industrial union emphasisConservative as didn·t challenge capitalismImprovements in working conditionProhibition of child labor, a national eight hour

day, and exclusion of foreign contract workers.Failed: couldn·t organize into industrial unionswhen important sectors like auto, steel etc grew



2) Congress of Industrial Organisation (CIO- 1935)Organise workers into industrial unions rather

than focus on certain craftsDissenters of AFL

Later both merged to form AFL-CIO in 1955 whichhas regional councils and local units all over USA

Now: 60 unions in USA and Canada affiliated to AFL-CIO( American Federation of Labour-Congress of Industrial Organizations)

Major activities of American Unions:i. Represent members at collective agreementsii. Negotiations over employment relationshipiii. Joint decision with management



E MPLOYER ·S A SSOCIATION

Reaction against trade union

Employees Association of Dayton: Labour Bureau

resisted against trade union pressure and gaverewards to those abstaining from strike andhelped through stike fund



Association of employers

1) National Association of Manufacturers(1895)Economic mattersHealth care, labor, energy, climate, corporatefinance, tax, trade / exports, technology,regulatory and infrastructure policyIn 1903, David MacLean Parry speech at theannual convention of the National Association of Manufacturers argued that unions' goals would

result in "despotism, tyranny, and slavery."Parry advocated the establishment of a greatnational anti-union federation under the controlof the NAM



G OVERNMENT ·S ROLE

After 1920s non-interventionist policy inindustrial relations

1. Promoted trade unionism

2. Statutory and voluntary procedures for settlinglabour disputes

3. Free collective bargaining with self- correctivemechanism



LABOUR LE G ISLATIONS IN USA

Norris La G uardia Act, 1932

Wagner Act, 1935

Taft- Harley Act, 1947

Landrum G riffin Act, 1959



1) Norris-LaG

uardia Act-1932

President Herbert Hoover- FounderCould enter into collective bargaining

No unfair employment contractsThe act outlawed Yellow dog contracts, whichwere documents some employers forced theiremployees to sign to ensure they would not join aunion; employees who refused to sign wereterminated from their jobs. [



2) Wagner Act-1935

Earlier named: National Labour Relation ActProtection of their rights to organiseRight to strikeSecret ballot elections for representative unionsEngage in union activities, to bargaincollectively without coercion of employerEmployer bargains with union regarding wage,bonus, terms and conditions of employment

National Labour Relations Board: forrepresentations election and investigate unfairlabour practice and remedy them.



3) Taft-Hartley Act-1947

Named as Labour-Management Relations Act Amended Wagner ActBalance powers of Labour and management incollective bargaining relationship

Right to self-organise, to form, to join and assistlabour organizationsInjunction on strikes affecting national health orsafety

Established Federal Mediation and ConciliationService( FMCS): assist in setting contractswithout work stoppages and maintainsarbitrators to decide contract interpretationdisputes



4) Landrum- G riffin Act-1959

Bill of rights for union members- equal rights invoting, freedom of speech in union matters, rightto vote on due increases and right to sue theirunions

No financial dealing between management andunionProtect the union members from possible wrong-doing



CHAN G E TO W IN F EDERATION (2005)

New Unity Partnership formed because of coalition of

1. Service Employees International Union (SEIU),2. The Union of Needletrades, Industrial and

Textile Employees (UNITE) and3. Hotel Employees and Restaurant Employees

Union (HERE),4. The United Brotherhood of Carpenters (UBC)

and5. The Laborers International Union of North

America (LIUNA )



The NUP was formally dissolved in 2005, but itsmember unions, namely the Teamsters Union

and the United Food and Commercial Workers(UFCW), created a new coalition, Change to Win,which introduced a program for reform of the

AFL-CIO.

The coalition was founded on two basic principles:

Working people, including current unionmembers, cannot win consistently withoutuniting millions more workers in unions.Every worker in America has the right to a unionthat has the focus, strategy, and resources tounite workers in that industry and win.



Service sector unions :women, immigrants andpeople of color as no discrimination found, asopposed to the manufacturing unions whichformed the basis of labor's strength for manyyears.



I NDUSTRIAL W ORKERS OF THE W ORLD

The Industrial Workers of the World (IWW) : calledas "Wobblies´ founded in 1905 by a group of about30 labor radicals.

Among their most prominent leaders was William´Big Billµ Haywood.More emphasis on industrial unionism ratherthan craft unionism

One Big Union and abolition of wage system20 ,000 textile workers went on strike and in 1917 Agricultural Worker·s Organization formed



Eventually the concept of One Big Union spreadfrom dock workers to maritime workers, and thuswas communicated to many different parts of theworld.Organized workers of all races and nationalities,without regard to current employment status.

At its peak it had 150,000 members but it wasfiercely repressed during, and especially after,World War I with many of its members killed,about 10,000 organizers imprisoned, andthousands more deported as foreign agitators.



Unskilled workers got a sense of dignity and self-worth.

The IWW exists today with about 2,000 members,but its most significant impact was during itsfirst two decades of existence.



T IMELINE OF LABOUR MOVEMENTS INBRIEF

1866 : National Labour Union - 1st national laborfederation in the US and dissolved in 1872

1869 : Uriah Stephans organized a new unionknown as the Knights of Labor.

1884 :The Federation of Organized Trades and

Labor Unions, forerunner of the AmericanFederation of Labor, passed a resolution statingthat "8 hours shall constitute a legal day's workfrom and after May 1, 1886.´



15 March 1917 : The Supreme Court approved theEight Hour Act under the threat of a national

railway strike.

9 November 1935 :The Committee for IndustrialOrganization (CIO) was formed to expand

industrial unionism.

25 June 1938 :The Wages and Hours (later FairLabor Standards) Act is passed, banning childlabor and setting the 40-hour work week. The Actwent into effect in October 1940 .



20 June 1947 :The Taft- Hartley Labor Actvetoed.

5 December 1955 :The two largest labororganizations in the U.S. merged to form the

AFL-CIO, with a membership estimated at 15

million.

14 September 1959 :The Landrum- G riffin Actpassed restricting union activity.

2005 : Change to Win federation



USA IN 2005

% of work by union from 35% in 1945 to 12.5% in2005Union density high in public sector: 36% govt

workers represented by union and in local govt(41% )Private sector: 8% represented by unionsNew york( 25%), Hawaii(24%), Michigan(22%),

Alaska(20%)North Carolina(3%) and South Carolina(3%)



REASONS FOR DECLINE

Employment from manufacturing jobs and other jobs represented by unions( railroads andmining) to services and high technological jobs

More white collar jobs and part-time jobsCentralised collective bargaining( national andnot local level)



THANK YOU

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