Prepared by
Kenda Murphy, LL.B - KMurphy Consulting and
Mercedes Watson, B.F.A., M.A., C.Med - Thought Department Inc.
Chapter
13
Future Issues for Workers,
Work Arrangements, Organizations,
and the Industrial Relations System
Chapter 13 Objectives
13
• At the end of this chapter you should be able to:
 Describe the demographic changes occurring in
the Canadian workplace
 Identify some of the strategies used by unions to address
demographic change
 Understand different forms of new work arrangements
 Explain how unions have responded to new work arrangements
and workplace practices
 Discuss new forms of organizational structures and unions’
response to them
 Identify factors that may influence Canadian industrial relations
in the future
Changes in Workforce Demographics
•
13
Since the mid-1960s, both the Canadian workplace
and workforce have changed significantly
• Demographic changes include wider age range
of workers, more women in the work force, and greater
ethnic and racial diversity
• Canadian unions must prove their relevance and value
to a new generation of workers in a variety of workplaces
Young Workers
•
13
Non-standard work, including part-time, temporary work,
multiple jobs, and self- employment, is prevalent among
young workers -- non-standard work is also called
precarious employment
• Unionization of this group is particularly challenging
because of high turnover, employer resistance to unions,
negative perceptions of unions, union reluctance to
organize, and concerns about employer reprisal
Young Workers
•
13
Young workers are often unfamiliar with unions,
or perceive them unfavourably
• Young workers may be more willing to join unions
if they have had negative experiences in the workplace
Female Workers
•
13
The number of Canadian women in the workforce,
as well as the number of women who are unionized,
has increased steadily over the past few decades
• Women’s representation in unions and in the unionized
workforce is now comparable to men’s
• But unions may be reluctant to organize
female-dominated workplaces
• Women may be less likely to participate in union activity,
which may result in the union’s inability to represent
female members and concerns effectively
Female Workers
•
13
Women leave the workforce and change jobs
with greater frequency than men
• Women also are more likely than men to engage
in part time work, temporary work, and self- employment,
all of which are more difficult to organize
Older Workers
•
13
Older workers are now more likely to participate
in the labour force beyond retirement age
• There are fewer older female workers than older male
workers, although the number of females is rising
• Unionization rates for older workers aged 55 and up are
comparable to unionization rates for workers of all ages
Ethnic and Racial Diversity in the Workforce
•
13
Members of visible minority groups participate
in the labour force at approximately the same
participation rate as all Canadians
• Visible minority adults are more likely to have a university
degree than non-minority adults, but tend to have
fewer years of work experience and are less likely
to be employed in higher-paying jobs
• The mismatch between educational level
and occupational level is referred to as underemployment
Ethnic and Racial Diversity in the Workforce
•
13
Visible minority workers may have a lower level
of unionization than non-minority workers
• Minorities are more likely to be employed in occupations
that are difficult to organize
• Immigrant workers may come from countries or cultures
where unions are perceived negatively
Union Strategies for Dealing with
the Changing Workforce
•
13
Unions must change to survive and be better able
to represent a broader membership which is unlike
that associated with the stereotypical characteristics
of traditional unionism
• Most national unions have policy statements on equality,
affirmative action, harassmentand violence
• Many collective agreements also contain similar language
• However, these do not always translate into action
at the local level
Union Strategies for Dealing with
the Changing Workforce
13
Some unions have “diversity” positions on their executives
• Others have committees and conferences to address
diversity issues
• Some unions are actively targeting young workers
with youth committees and education programs
• Others are deliberately targeting specific demographic
groups in organizing campaigns
•
Changing Work Arrangements and Practices
•
13
Unionism first evolved in response to the
“industrial” model of work
 workers attended work regularly
 Workers performed work determined by the employer
• Many workplaces have changed the location,
scheduling, and structure of work
• This challenges how unions organize
and represent workers
Changing Work Arrangements and Practices:
Work Scheduling
13
 Flextime
 Compressed work weeks
 Job sharing
•
Approximately 15% of Canadian workers have access
to either flextime or a compressed work schedule
• Challenging to organize workers whose hours or days
of work are constantly changing
Changing Work Arrangements and Practices:
Telecommuting
•
13
An employee works partially or completely at home,
and communicates with the workplace or employer
through computers and telephones
• Telecommuting (also know as telework or e-work)
permits a certain degree of freedom as to how
and when work is done
• It contradicts the assumption that employees work
at a centralized workplace where the employer
dictates the conditions and content of work
• Difficult to organize workers not at workplace
Changing Work Arrangements and Practices:
Different Employment Relationships
•
13
Non-permanent employment relationships such
as contract, term or temporary work are more common
• Some unions have negotiated agreements
to balance flexibility with protection of working conditions
(e.g. in film industry)
• But unions have generally been reluctant
to endorse any form of employment that deviates
from full-time wages and benefits
Changing Work Arrangements and Practice:
New Human Resource Management Practices
•
Employers are exploring new ways of attracting
and retaining employees
 More career development and training
 “High commitment” practices
 Direct communication and employee “voice”
 Pay more clearly linked to performance
• No indication of how effective these are
• May discourage adversarial employer-employee
relationships
13
Union Responses to Changing Work
Arrangements and Practices
•
13
Some unions have negotiated agreements
that regulate use of non-traditional work arrangements
• Some unions have negotiated agreements
with balance and flexibility for non-traditional work
• Unions have used technology to reach
“virtual” workers and to disseminate information
• However, many unions reluctant to even suggest
non-traditional work
Changes in Organizational Structures
•
13
Traditionally organizations had power and authority
concentrated at the top
• One of the motivations behind the formation of unions
was dissatisfaction with this structure
• Limitations of traditional organizational structures:
 Do not adapt well to operating in multiple locations
and cultures
 Difficult to adapt to broader product or service offerings
 Top-down communication is slow
Changes in Organizational Structures
•
13
Organizations are exploring other forms of structure:
 The flatter organization: more equitable
distributions of power
 Matrix and network (or web) organizations: lateral
information and decision making authority
• New organizational structures reduce or eliminate
traditional distinctions between employers or managers
and employees
Changes in Organizational Structures
13
Changes in Organizational Structures
•
13
Unions may also have to deal with practical problems
associated with structural change, such as:
 Downsizing: the elimination of jobs or changing
full-time work to part-time work
 Changes in the job content to reflect
new responsibilities or interrelationships
Union Responses to
Changing Organizational Structures
13
The balancing act for unions:
 Changes to structure sometimes encourages greater
cooperation between worker-employer
 However, control and direction of work remains
with the employer
 So unions still have a role in ensuring that workers’
issues are addressed
─ Canadian Auto Workers were involved in 2009
restructuring of auto industry and made concessions
in exchange for e.g. retaining benefits
─ CAW also signed 2007 “framework of fairness”
agreement with Magna
Globalization
13
The way that the world once did business is changing:
 Emergence of large multinational organizations




with large amounts of resources
improved technologies
better communication and transportation
increased production capacities
liberalized trade agreements
Globalization
•
13
Three models explain the possible effects of globalization
on employment relationships
 globalization model
 institutionalist model
 integrated approach
Globalization
13
Globalization affects unions in Canada because:
 Many workers’ rights taken for granted here do not
exist or are not enforced elsewhere
 Downward spiral of competition for lowest production
costs (race to the bottom)
─ gives no incentive to improve employment conditions
─ encourages banning of employee activity (like unionizing)
that might discourage investment
Globalization
13
Challenges that unions face related to globalization:
 Difficult to counteract the power of large multinationals
 Difficult to organize across multiple locations
and countries
 Similar problems to that faced in early days
of unionization in Canada
 Different labour laws in different jurisdictions
Globalization
13
Example of garment industry
 In early 20th century was organized by strong unions
 In early 21st century “sweatshops” have returned
 Price-sensitive market leads to subcontracting
to reduce production costs
─ Imports and international production allows mobility
of work across countries
─ Automation in the workplace has increased production
and reduced worker skills/numbers
Union Responses to Globalization
13
 Lobbying to have employment standards
and labour rights included in trade agreements
 Negotiation of labour standards
between international unions or federations
(“international framework agreements”)
 Partnering with and supporting locally based
unions in other countries
─ Helps improve conditions for all workers
─ May discourage work being moved elsewhere
if no cost advantage
 Addressing economic conditions from globalization
that weaken the union
Factors Influencing the Future
of Industrial Relations in Canada
13
What happens next?
 Can a system based on an industrial/hierarchical
model of organization continue to be effective?
 Will Canadian unions encounter similar decline seen
in the U.S.?
 Is the Canadian industrial relations system healthy
and will it remain that way?
Legislation
•
13
Canadian labour legislation is largely decentralized
 Helps adapt to varying conditions across country
 But hurts organizing because of need to adapt
to different regions
• Content of laws is also important
 Canadian labour law is more union-friendly than US
and evolves more quickly
 But some provincial governments
have made alterations to labour law that have
discouraged unionization
Political Influence
•
13
Is the varying political success of the NDP a threat
to the future of the labour movement; if so,
where does labour go?
• American unions, like the AFL-CIO, who in 2013 stated
the US labour movement is “in crisis” and will focus
on organizing a stronger working-class
• Some Canadian unions have aligned themselves
with other social activist groups, but this may not
increase their political influence
• The options then appear to be rebuilding the NDP
or seeking labour-friendly non-NDP candidates
Union Organizing
•
13
Canadian union density has not decreased
but neither has it shown any significant increase
• Will Canadian unions pursue a strategy of growth,
or be content to protect their previous gains?
• Examples of growth strategies:
 UNITE-HERE Toronto hotel workers’ union using
“spatial circuit” of union renewal
 BC pulp mill workers forming coalition to purchase
the mill where they work
Union Organizing
•
13
Another example of adaptation: entertainment industry
unions in the U.S.
 aim to achieve standard or national agreements
with major employers
 bargained not only for wages, but for mechanisms
that protect members’ employment prospects
and support skills development
 place a high priority on providing services
to their members
Copyright
13
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