W HY Unions Matter M any people of faith and good will want to support workers in their efforts to improve wages, benefits and working conditions, but they don’t understand why workers want to be represented by unions. Young people especially may not even understand what a union is and why many workers are interested in forming unions. All workers should have the right to form a union without fear and harassment. Interfaith Worker Justice believes that in general unions are good for society. This does not mean that every union is perfect or that every workplace needs a union. But for those concerned about justice for workers, it is important to understand why many workers want to join unions, the union benefit for workers, the role of unions in society and the difficulties workers face in forming unions. It is also important to build relationships with labor unions in order to jointly push for shared values of justice and dignity for workers, and to uphold the rights of workers who choose to form unions. Why Workers Join or Organize Unions Workers want a voice in decisions All workers want to be involved in decisions that affect their lives, and yet many find themselves and their suggestions routinely ignored or rejected. Many feel that they are denied the right to talk and think when they enter the workplace. Management, who controls their basic livelihood, discourages workers’ participation in the company decision-making process. This is especially frustrating to workers regarding issues such as the scheduling of hours, workloads and ways to make the work more effective. and house their families on their wages. And yet, too many are forced to turn to soup kitchens and shelters for emergency help. Families should also have adequate income to provide for their children’s education as well as their own retirement years. Union wages improve and strengthen working families’ communities. Workers want comprehensive benefits Unless (or until) the United States provides comprehensive health care to all residents, workers must turn to the places of employment to provide health insurance. Unfortunately, Workers want a safe working environment nearly 53 million people are without health insurance as of Unions create safer working environments in two ways. 2009. Most of these uninsured are workers in low-wage jobs They help to improve the conditions in which employees and their family members. Over half of all nursing-home work, which reduces injuries; secondly, they encourage workers are without health insurance because it is either not workers to report and seek care for the injuries that they sufoffered by their employer, or the co-payments are too high. fer on the job. Unions help to correct the company’s priorities Unions place a high priority on securing health insurance so that the worker’s welfare and safety on the job are seen as coverage for workers. integral to the company rather than a Workers want and deserve other benefits such as liability to profits. paid vacation, paid holidays and secure pensions. Because there are so many dangerThese are benefits for which unions advocate. Although We had no ous jobs, workers form unions to protect there are nonunionized workplaces that offer good benconsistent personnel themselves. Farm workers form unions to efits in industries that require limited amounts of trainpolicies. People were reduce their exposure to pesticides, and ing, a union is often the difference between having and fired and there were no to get drinking water and access to bathnot having benefits. grievance procedures. rooms in the field. Nursing home workNew people were ers form unions to combat back injuries, Workers want job security hired and given more frequently caused by chronic underAs companies outsource, downsize and shift from pervacation days than staffing in nursing homes. Poultry workmanent to contingent employees, workers have grown others. Everything was ers form unions to address the repetitive concerned about their job security. People want assurbased on who the motion injuries that plague the industry. ance that companies won’t outsource their job to some supervisors liked. When accidents do happen, workers cheaper group, another state or even another country. need to be able to report the injuries to Unions can’t guarantee job security, but contracts negotithe company so they can receive treatment or Workers ated by unions attempt to create some level of security in Compensation. Unions give workers the voice they need to every contract they negotiate. report their injuries because union contracts help to ensure that Workers who are not in unions or employed by the gova worker can’t be fired or denied compensation for a workernment are working “at will” – in other words, at the will of place injury. This is especially important at dangerous jobs, the employer. An employer can legally fire anyone for any where occasional accidents are inevitable. An injured worker reason so long as the reason isn’t in direct violation of a fedseems more like an obstacle than a human being to an employeral law regarding discrimination. Because an employer can er that is more concerned with the bottom line than with workfire someone for virtually any reason, such as having a “bad er welfare. Companies have a business incentive to find ways attitude” or negligible tardiness, employees who work “at to sever ties with injured workers rather than provide care and will” have very little job security. compensation so that an employee can go back to work. Unions help to counteract this business pitfall by strengthening Workers want fairness in the workplace workers’ voices and creating clear regulations that the employWorkers want to know what the rules are, what the conseer must follow when confronted with injured employees. quences are for breaking those rules and what the appeal (grievance) process is for alleged rule violations. Some perWorkers want living wages sonnel policies clearly outline them. Most don’t. Too often Although wages are frequently not one of the first reasons workers follow the policies while the employers do not. cited by workers for forming a union, adequate pay is a Without a personnel policy that acts as a binding contract, reflection of the value a company places on its workforce. or a union contract that makes the rules and procedures clear, Workers need good wages to meet their families’ needs and workers feel vulnerable to the whims of supervisors. Promotions, live with dignity. All workers should be able to feed, clothe raises, penalties and dismissals often feel random and unfair. “ 2 Interfaith Worker Justice • Why Unions Matter What is the union “benefit”? Unionized workers have a voice in the workplace Unionized workers are more likely to have health insurance By helping secure a contract that outlines rules, procedures and a structure for addressing workers’ concerns, unions provide a counterbalancing power to management in the workplace. Workers can't always secure everything they want, but they are assured a more structured means for addressing problems. Union members are also more likely to have health plans that include dental, prescriptions and eyeglass coverage. In 2006, 80 percent of union workers in the private sector had employer provided medical care benefits, compared with the 49 percent of nonunion workers. Many unions are fighting to preserve or establish affordable co-payments for health insurance. Unionized workers are more likely to have short-term disability benefits, as well. Unionized workers earn more money and better benefits Unionized workers are more likely to have retirement benefits According to the Bureau of Labor Statistics, in 2008 the union pay advantage was 22 percent higher for all workers, and it is even larger for people of color and women. In 2008, most union members, 77 percent, have definedbenefit coverage plans, compared with only 20 percent of non-union workers. Union Representation Means Better Pay Average Hourly Earnings by Occupations, 2006 $11.87 Cashiers $8.11 Cleaners of Vehicles and Equipment $13.34 $8.87 $12.45 Cooks $8.61 $11.91 Maids and Housekeeping Cleaners $9.06 Other Protective Service Workers $14.73 $9.65 Refuse and Recyclable Material Collectors $21.50 $9.12 $14.30 Waiters and Waitresses $9.81 0 $5.00 Union Wage $10.00 $15.00 $20.00 Non-Union Wage Source: Barry T. Hirsch and David A. MacPherson, Union Membership and Earnings Data Book, BNA, 2007, forthcoming. Prepared by the AFL-CIO. Interfaith Worker Justice • Why Unions Matter 3 Smithfield Foods Workers Struggle 15 Years for Union Representation Smithfield Foods is the largest hog killing and processing plant in the world, and in 1994, workers at their North Carolina Tar Heel plant attempted to organize for better wages and more safety in the workplace. After 15 years, workers finally approved a contract with the United Food and Commercial Workers (UFCW) in July 2009. Smithfield launched such a dishonest and brutal anti-union campaign that courts ruled to throw out the results of two elections in 1994 and 1997. Smithfield employed tactics like spying on workers’ union activities, confiscating union materials, threatening to fire workers who voted for the union, threatening to freeze wages and to shut down the plant. One employee was beaten by Smithfield police on the day of the 1997 election – tactics which invalidated the union elections. Workers were too intimidated by Smithfield Foods to vote honestly. After a court ruling restricted the communication that Smithfield and the UFCW had with the workers, a fair election was finally won for the workers at the Tar Heel Plant. 4 When Workers Want to Form a Union Workers talk with one another Workers don’t usually know that they want a union. They just know they are unhappy about working conditions. Frequently, workers seek to change conditions by talking with supervisors, participating in organized input groups or filing formal complaints. Most workers who organize turn to unions only after they’ve tried other means for gaining a legitimate voice in the workplace. Contact is made with a union The person who makes the initial contact with a union varies. Sometimes a worker knows a friend who knows someone in a union. Other times, workers contact the local labor council to find out which union should be contacted. In other settings, union organizers are out, talking with workers in particular industries and come across workers who want to organize a union. An organizing committee is built Because most workers don’t know what unions are or do, unions build an organizing committee to help educate them. If there is not enough interest in even forming an organizing committee, it is probably not a place where workers will vote for a union. Cards are signed In the U.S., the way workers indicate to companies that they would like to be represented by a union is by sign- ing “an authorization card.” This card authorizes the union to operate on the workers’ behalf. In most Canadian labor jurisdictions, if a majority of the workers in a company sign authorization cards, the company is required by law to negotiate a contract with that union. In the United States, a company may recognize the cards as indicating the will of the workers and negotiate with the union, which can be done as a community-group supervised election. Or the company may choose to have a government-supervised election. The former is referred to as “majority sign up.” The latter is referred to as “an NLRB election.” NLRB stands for National Labor Relations Board, the government agency that oversees union elections. At least 30 percent of the workers must sign cards before the NLRB will schedule an election. An election is held If the employer insists on an NLRB election, there may well be delays before the workers actually get to vote. Many employers challenge who is eligible to vote, claiming that certain workers shouldn’t be included in the “bargaining unit.” Only after all the challenges are resolved can the workers actually vote. If more than 50 percent of the workers vote to be represented by the union, the company is legally obligated to negotiate “in good faith” with the union. Interfaith Worker Justice • Why Unions Matter Once a Union is Formed Negotiating a contract Once the company recognizes the union (via majority sign up) or the workers win an NLRB election, the company and union must negotiate a contract which spells out terms of employment for those workers eligible for the contract. Often the workers elect their bargaining committee. Usually, the union bargaining team is composed of leaders from the organizing committee and union representatives familiar with contracts and bargaining. Negotiating a contract is referred to as collective bargaining. When relations between unions and management are decent, contracts can usually be agreed to in a relatively short period of time – a few days, a few weeks or at most, a few months. Negotiations that drag on longer than a few months usually do so because a company does not want a contract. Unfortunately, even after workers vote in favor of forming a union, 52 percent of their workplaces remain without a contract a year later and 37 percent still lack a contract two years later. Enforcing the contract A union contract sets forth the terms of employment and a grievance mechanism for dealing with disagreements. A shop steward is the person who assists workers in filing grievances and using the grievance process. The union has a legal obligation to assist workers in the process. A shop steward is usually a worker who has special training in understanding the contract. Renewing the contract Because contracts are for specific periods of time, such as one year or three years, the contract will “come up for renewal.” For most union-management relations, this is a fairly straightforward process. In other situations, it can become contentious. Interfaith Worker Justice • Why Unions Matter What role do unions play in U.S. society? Advocating for Public Policy Many union members have bumper stickers that say, “UNIONS – The Folks that Brought You the Weekend” Well, it’s true. Many of the public policies we take for granted, such as prohibitions on child labor, the eight-hour workday, social security, pension protections and the minimum wage were fought for and won by the labor movement and its allies in the religious community. As important as religious involvement is in public policy advocacy for workers, progress can be achieved more effectively in partnership with a strong labor movement. Workers, especially workers in low-wage jobs, need a strong public policy voice that can counteract the powerful, well-financed business interests that too often dominate public policy. Currently, unions are advocating increases in the minimum wage, health coverage for uninsured Americans, protections for social security, labor law reform, stronger enforcement of the Occupational Safety and Health Act and expanded protections for immigrant workers. Raising the Wage Floor for All Workers Union members gain higher wages through collective bargaining, a process that creates a wage floor that benefits all workers, especially workers in low-wage jobs. Frequently even nonunion employers raise wages to retain good workers and to dissuade the rank and file – nonmanagement employees – from organizing. Between the mid-‘40s and the early-‘70s, when labor unions were at their strongest, real wages rose consistently. At the beginning of the 21st century, however, unions represent only 12 percent of the workforce. Their decline is clearly a contributing cause to the overall decline of wages and benefits of all workers. During the debates about bailing out the struggling American automobile industry, a plan for providing $14 billion in emergency loans to the carmakers was scuttled after opponents in the U.S. Senate insisted that unionized autoworkers must agree to massive pay and benefit cuts. In the heated rhetoric of the day, the fault for the meltdown of our economy was falsely attributed to “overpaid” unionized workers. But in the real world, the divide between the rich and the rest of us has become a gaping canyon, with income inequality higher than it has been than at any point since the 1920s. The economic program we need must create living-wage jobs that allow workers to support themselves and their families in dignity, not in poverty. Unions are not the problem, and they must be part of the solution. Workers create wealth, and must be allowed a fair share of what they create. Challenging Gross Disparity of Wages The ratio of Chief Executive Officer (CEO) pay to worker pay in the U.S. is the most disproportionate of any industrialized nation in the world. CEO pay in the U.S. was 344 times the average worker’s wages in 2008. By comparison, CEO pay in other industrialized countries is only 10 to 25 times that of the rank and file. The salaries of CEOs in the U.S. are excessive because of a culture of greed and the decline of unions. Union bargaining not only raises the wage floor for average workers; it limits the excess of management’s salaries by decreasing the amount of money that may be used for such. Thus, unions are one means by which to attain more equitable and just salaries. 5 Difficulties Faced by Workers who Choose to Form Unions U nfortunately, U.S. workers face a very hostile climate for organizing unions. Workers who choose to organize for a collective voice on the job are often viewed as disloyal troublemakers. This is true even in some religious institutions that claim to protect workers’ rights to organize. According to a 2009 study by Kate Bronfenbrenner, 53 percent of all working Americans would vote to join a union if they had the opportunity to do so without risking their jobs. However, workers are afraid. The weak laws alone are bad enough for those who choose to organize but a sophisticated, multimillion dollar industry has developed to consult and advise employers on how to oppose unions. More than 80 percent of companies faced with union organizing efforts hire help to wage anti-union campaigns. No other industrialized nation has such a vibrant union-busting industry or weaker labor protections. Ex-union buster, Martin Jay Levitt outlines the kind of unsavory tactics used against workers who want to unionize. Union busting is a field populated by bullies and built on deceit. A campaign against a union is an assault on individuals and a war on truth. As such, it is a war without honor. The only way to bust a union is to lie, distort, manipulate, threaten, and always, always attack. The law does not hamper the process. Rather it serves to suggest maneuvers and define strategies. Each “union prevention” campaign, as the wars are called, turns on a combined strategy of disinformation and personal assaults. (from prologue of Confessions of a Union Buster, 1993) U.S. Labor law is dominated by the National Labor Relations Act (NLRA) and the Taft-Hartley amendments. The original National Labor Relations Act was passed in 1935 to improve workers’ living standards by increasing the power of unions. Over the 6 course of the next 65 years, the intent of the law has been changed via amendments to the Act and various judicial and administrative decisions that weaken the power of unions. The Taft-Hartley amendments to the NLRA, passed in 1947, strengthened managers’ abilities to oppose unions. The amendments permitted the employers to campaign against union representation as long as there was “no threat of reprisal or force or promise of benefit.” What happens to workers who attempt to organize? • Ninety-one percent of employers require employees to attend a one on one meeting with their supervisors where they are told why unions are bad and why they should vote against a union. • Fifty-one percent of employers illegally coerce union opposition through bribes and favors. • Thirty percent of employers illegally fire pro-union employees. • Forty-nine percent of employers threaten to eliminate all workers’ jobs if they join together in a union. Most of this anti-union activity occurs after the workers have signed cards indicating they want to be represented by a union, and before the official NLRB-supervised election. If the point of an election is to determine what workers really want, then it would seem that both sides – union and management – should be able to present their cases fairly. But given the laws, the anti-union campaigns, and the control that employers have over workers’ lives, the cases are not presented evenly. In effect, the time between signing cards and holding an election appears to be a time to scare workers into voting against unions. Anti-union activities have become so Interfaith Worker Justice • Why Unions Matter prevalent that an initiative was introduced in early 2006 by the 110th Congress to further employees’ freedom to choose and pursue union representation. The Employee Free Choice Act, as the initiative is known, calls for stronger penalties for violations of the election process that occur between union card signing and the NLRB-supervised election, mediation and arbitration for stalled contract negotiations and union formation through majority sign-up. Whether there is an NLRB-supervised election, card-check recognition or a community-sponsored election, the principles of fairness and respect for one another must be maintained by all parties, employees and employers alike. After an election or card-check recognition, it is important for the union and management to negotiate a contract, a set of rules and expectations regarding wages, working conditions and other basic issues that sets terms on which both sides can agree. The contract is where employers and employees differing perspectives get resolved. According to the law, all parties must bargain “in good faith.” Although it is difficult to prove that someone isn’t bargaining in good faith, experience has shown that if everyone really wants to negotiate a contract, it can be done in a relatively short period of time. When negotiations drag out for long periods of time, it usually means that there are irresolvable differences of opinion or that management does not want a contract. Because one key goal of unions is to negotiate contracts, it is seldom unions that create long delays. It is possible that a union would not agree to a particular contract proposal. If a union and management cannot come to some agreement over a contract, union members can vote to go on strike. In a strike, workers withhold their labor for a certain period of time in order to put pressure on the company to negotiate a contract. During a strike, workers lose their wages and are ineli- Interfaith Worker Justice • Why Unions Matter gible for public benefits such as unemployment insurance or food stamps (unless they were previously eligible). Although much publicized, strikes actually occur in only a small percentage of contract negotiations. In fact, most workers will only strike as a last resort because of the burden it places on themselves and their families. Under the law, there are two different kinds of strikes. One is an unfair labor practice strike, and the other is an economic strike. For example, if a company fired three union supporters for their union activities, the union members could vote to go out on strike. This would be an unfair labor practice strike. If a company proposed reducing workers’ pay by $1 per hour, the workers might vote to go on strike and it would be an economic strike. Even though workers have the “right to strike,” if they go out on an economic strike, under the terms of current U.S. labor law they can be permanently replaced. This right to strike, but right to lose your job, is one of the oddities of U.S. labor law. No other industrialized nation allows companies to permanently replace striking workers. Though it is technically legal in the U.S., permanent replacement of striking workers is not ethical. Most religious bodies in the U.S. have publicly condemned the practice of permanently replacing striking workers because it upsets the balance of power between employees and employers. Equally despicable is the practice of locking out workers before a contract can be settled. In a few situations, when workers attempt to negotiate a contract, management decides that things aren't going well and it simply locks the doors and refuses to let the workers in. Replacement workers are then hired to take the place of the locked-out workers. This practice, called a “lockout,” has received little public attention, but is thoroughly outside the ethical principles outlined by the various faith traditions. 7 What about.... What about union corruption? Unions, like religious bodies, are made up of human beings with all their flaws and frailties. There is some corruption in unions, as there is some within religious bodies. And, wherever corruption or greed is uncovered, it must be cleaned up. For that purpose, most unions have rigorous procedures to combat corruption. When a local union is found to be corrupt, the national leadership will take over control of the local until it can be cleaned up and an election of new leaders held. As wrong as union corruption is, it is unfortunate that it receives so much front page media attention in comparison to the important justice work done by unions to raise wages, benefits and working conditions for workers in low wage jobs. What about union violence? When workers are locked out, their jobs moved overseas or their economic livelihood threatened, it is understood that some people might respond with anger. But violence is something all national labor leaders abhor. Across the country, union members practice and preach nonviolence. And while there may always be some workers who act out their anger, this is not the modus operandi of unions. When union-busting consultants want to denigrate unions they describe them as violent and show photos of violence on a picket line. Violence is wrong, whether it is workers on a picket line, security guards harassing picketers or companies causing economic violence against workers. What about racism and sexism? Racism and sexism are sins shared by unions and the religious community. The leaderships of the AFL-CIO and Change to Win hold as a key goal ensuring full participation for all in work, in society and in unions. Although much still needs to be done, the AFL-CIO has made significant progress in making its leadership more closely reflect its membership. Part of this may be due to a change the AFLCIO made to its constitution meant to significantly develop the race and gender diversity of its leadership. Upon its establishment in 2005, Change to Win instituted three positions on its leadership council specifically meant to further race and gender diversity on the council. Are unions really needed? Maybe not, if the world were perfect and all employers were fair and honest. But even if employers were perfect, workers might still want to organize. Human beings have the God-given right to participate in decisions that affect their lives. Workers care deeply about their jobs and want a voice in workplace decisions. We live in an economic society devoted more to the bottom-line than to people. Most corporate decisions that hurt workers are not driven by malice, but rather a desire to increase profits or compete in a very competitive global market. In this changing economy, individual workers need an organized voice to challenge the priorities of companies. In our society, unions are the primary vehicles for worker representation. Over the years, unions have proved themselves as advocates for justice in society. Many workers view unions as advocates for justice now, and for the future. As unions stand for justice in the workplace and the society at large, the religious community should stand with them. 8 Interfaith Worker Justice 1020 W. Bryn Mawr, 4th Fl. Chicago, IL 60660-4627 Phone: (773) 728-8400 Fax: (773) 728-8409 www.iwj.org
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