Labor Relations 101

SEIU 1199 Targets Home Health Care Aides

Jeffrey Krasner of the Boston Globe is reporting that Services Employees International Union Local 1199 (SEIU 1199) will likely win a National Labor Relations Board mail in ballot election today.  SEIU 1199, which claims to be the largest local union in the world, is seeking to represent 22,000 home healthcare workers across Massachusets for the purposes of collective basrgaining. Home health care aides are paid by the states Medicaid program, MassHealth.

If successful, then SEIU will have a significant advantage in organizing health care workers (i.e. nurses) across the board, if they are able to demonstrate they can negotiate higher wages and better benefits for home health care workers who tend to exist at the lower end of the income spectrum.

SEIU has also enlisted the aide of politicians and actors to support their mission.  Mayor Thomas M. Menino and state Senator Steven A. Tolman are expected to attend an SEIU event today at the Veronica B. Smith Senior Service Center in Brighton, Mass. SEIU will release the results of the vote today.  State Senator Tolman sponsored a bill last month that allowed home health workers to unionize.

Ben Affleck, an actor in films such as "Armageddon," "Gigli," and "Hollywoodland," recently endorsed SEIU's plans to organize health care workers and hospitals. 

SEIU is also asking hospitals to give up their organizing-campaign rights under the National Labor Relations Act  and to embrace the "third way of organizing" approach advocated by SEIU director Andy Stern.  This approach would make organizing much easier for the union because the secret ballot elections occur much earlier than what is allowed under traditional rules.

UAW Members Still Uncertain About Contract...

CNNMoney.com is reporting that union members are still undecided about the tentative contract between the UAW and Chrysler, LLC.

"Six locals unions representing more than 11,000 workers have turned down the landmark pact, while five locals representing about 8,200 workers have said "yes."  It's nearly impossible to keep a running total because most local unon officials give out only percentages and not the number of people who voted."

The UAW has launched a massive public relations campaign aimed at encouraging members to approve the contract.  It is believed that at least 45,000 have yet to vote on the contract.

The international body of the UAW have stated that the vote will pass by at least 50 percent of the vote, although there are some within the union that believe this to be incorrect due to the large number of local unions that have voted against the deal.

There are two reasons why UAW members are concerned about this contract proposal...

1) The contract language allows for a lower-tier wage scale for new hires (around $14 per hour vs.
    roughly $18 an hour prior to the new contract)

2) The vehicle guarantees (i.e. job security) for factories that run for the life of the contract are less
    than those negotiated into the General Motors contract one month ago.

If the contract is not approved by the members than the UAW could return to the bargaining table, or call for a re-vote. 

Chrysler Strike Vote Looming

The United Autoworkers (UAW) have given Chrysler 24 hours to decide whether or not they are willing to give job and product guarantees similar to what UAW negotiated with General Motors.

Phil LeBeau of cnbc.com is reporting that Chrysler is unwilling to make these guarantees due to the fact that they lack the product pipeline to producing certain products at certain assembly plants.

Chrysler also wants (possibly needs) to retain the capacity to downsize staff based on the present and future needs of their business cycle.  Chrysler just recently laid off 1500 salaried staff.

During negotiations with General Motors, the UAW successfully lobbied GM to infuse cash into the VEBA (Voluntary Employees Beneficiary Association) fund which the union will operate in order to provide health related benefits to the union rank and file.  Chrysler, on the other hand, is not as willing to invest their money into the VEBA largely because it does not have capital reserves similar to GM.  Infusing capital to the tune of $35 billion (which is what GM invested in the VEBA) limits the amount of cash on hand Chrysler will have for the future.

Consider that Chrysler is now owned by Cerebus Capital Management, a private equity firm.  The bottom line for Cerebus is money.  Also consider that Chrysler is set to launch a new line of fuel efficient and environmentally friendly automobiles that car insiders are describing as the "future of the automotive industry."  Chrysler simply wants the ability to be as financially agile as possible. 

Although a strike would hurt Chrysler, the reality is that they are likely willing to shoulder any short term losses if it means they will retain the right to operate with as few restrictions as possible.

Why Is It No One Told Me They Wanted A Union?

I just got off the phone with a business associate of mine.  He just discovered that the International Association of Machinists (a labor union) has petitioned the National Labor Relations Board to hold a secret ballot election.  The secret ballot election will determine whether or not 68 warehouse employees will be represented by the Machinists.

This of course caught my associate by complete surprise.  The only thing he could say was "I thought everyone was happy."  And that, my friends, is usually the sentiment of managers throughout the country. 

Many employees do not vocalize the issues and problems they face on their jobs.  They may fear some form of retaliation or they simply want to do their jobs without unnecessary drama.  And then there are those employees who live to "stir up the hornets nest."  They will let management know their opinions on everything from staffing to how the business should be run.  And it is usually these employees that management turns a blind ear/eye toward.  This is where part of the problem lies.

I am not saying that managers have to jump on every issue that is brought to their attention, but I am advocating the importance of listening.  When managers LISTEN employees feel empowered.  When managers take ACTION based on what they have heard and observed then employees feel that management is properly representing their concerns in the workplace.

It is usually during the second week of a labor union campaign that management is confronted with the awful truth that has been staring at them like a 500 foot pink elephant in the middle of the room:  WE DIDN"T LISTEN TO OUR EMPLOYEES!

As a result, employees feel the need to seek third party representation via a labor union because the union has promised them that they will be their voice at the bargaining table.  And what employees often find out is that after the union has been elected to be their collective bargaining representative those problems they complained about are still present in the work environment. 

The best and most effective strategy to ensuring that management and employees remain "on the same page" is to take time to hold formal and informal meetings about the state of the work environment.  Management and employees may even agree on creating a "time table" by which they can chart when both parties will meet to work and solve any lingering problems together. 

I will include more information in future posts...

George is Out! Firefighters Receive Promotions

Jake Wagman of the St. Louis Post Dispatch is reporting that on Tuesday five firefighters were promoted to the rank of battalion chief, ending a long, contentious battle between former Fire Chief Sherman George and Saint Louis Mayor Francis Slay. 

The conflict between George, who is African American, and Slay was over the long held belief that the 2004 test used to determine promotions was culturally biased against African Americans.  George refused to grant any promotions until the results of a federal court case, which tested the viability of the bias claim.  The federal court ruled that the 2004 test was not discriminatory.  George was then ordered by Mayor Slay to approve the 2004 promotions.  George refused, which served to anger not only Mayor Slay but the White fire fighters as well.

And what about the charges that the 2004 was culturally biased and discriminated against ethnic minorities?
The small group of promoted personnel included two African American males and the highest ranking female in the history of the St. Louis Fire department.

Although the issue of the promotions has been set aside, the question is how will Mayor Slay and his administration deal with the racial conflict which this matter has created.  White and African American firefighters, although represented by the same union IAF Local 73, are far from unified on this issue.  African American firefighters have lobbed charges of racial discrimination against their union, while White firefighters publicly supported the ouster of Sherman George. 

Something will have to be done to foster a sense of harmony among the firefighters.  If not, this will serve to destroy the harmony of what was once considered a treasured brotherhood.

What Do We Want? Job Security!!

The United Autoworkers of America (UAW) have announced an economic strike against General Motors (GM) today.  Workers walked out of their respective General Motor facilities at 10a.m. this morning.  The national strike called upon by the UAW is its first since 1976.

While many assumed that GM and the UAW would come to an agreement this past weekend, negotiations spriraled out of control when the neither party could come to terms regarding job security for the roughly 73,000 GM employees.

Mark Turnbull, of the Christian Science Monitor, provided the following statement from John Wolkonowicz, an auto analyst from the consulting firm Global Insight in Lexington, Mass.

"The Union leadership fully understands the seriousness of the situation...They're out to preserve jobs and preserve salaries for their members.  They'll do whatever they can to achieve that."

Neither party can withstand the effects of a long term strike.  It is likely that General Motors will concede some level of flexibility as it relates to job security, but will this be enough for the UAW?  Admittedly the union does not have a strong bargaining position, but General Motors can not afford to be without its employees.  Both parties will have to come to some consensus if they both wish to be viable and profitable for the future.

Wait A Minute...You're NOT A Supervisor?

The Congressional Education and Labor Committee ruled 26-20 to adopt a bill that would overturn the National Labor Relations Board "charge nurses" ruling in the Oakwood Health Care case (also referred to as the Kentucky River case) from 2006.

Jesse J. Holland of the Fresnobee.com reported that under the new legislation supervisors would have to spend the majority of their time performing supervisory duties in order to fit within the "Section 2(11)" managerial category.

In the 2006 Oakwood Health Care case the five person National Labor Relations Board ruled that charge nurses who gave "significant overall duties" to employees were considered exempt from inclusion  in  NLRB  secret ballot elections for  potential union  membership.

The bill has not been approved by the House.  However, if it does pass then it will be more difficult for companies to apply the supervisory title to workers that do not spend a majority of their time performing supervisory duties.  As a result employees that have been traditionally excluded from bargaining units will now have the right to vote in NLRB secret ballot elections.

Labor Relations 101

Hey Everyone, Labor Relations 101 will be back next week! As you might have noticed I haven't posted an article since August 14, 2007. My schedule has been packed, but Labor Relations 101 will be back next week! Thank you for your continued support! Be well and remember..."People will work for money, but they will die for respect and recognition."

Memo To Bush...Karl Rove Has Left The Building.

Karl Rove, President Bush's chief political aide and friend, has announced his resignation from the Bush administration.  CNN is reporting that Rove left after White House Chief of Staff Josh Bolten requested that White House staffers resign before labor day or commit to serving the president through the end of his term -- January of 2009.

Rove has long been credited for serving as Bush's "architect" and even some whisper that he is the brain behind the current administration.  Rove rode a wave of unprecedented access to the oval office until the Democratic party took control of both Congress and the Senate in November 2006.

Although the Republican party denies that Rove's departure will have a major impact on the administration, it cannot be denied that Rove was the engine that made the President go.  President Bush will be hard pressed to convince anyone that he has not entered the dreaded "lame duck" territory.  Love him or hate him, Karl Rove truly made his mark on 21st Century politics.

Blogger Union Unite?

Cnn.com has an interesting post up regarding the "new" debate about bloggers forming a union in an effort to receive health care coverage, and collective bargaining rights.  Supposedly, Susie Madrak of Suburban Guerrilla brought up the idea of bloggers uniting behind a union. 

"I think people have just gotten to the point where people outside the blogosphere understand the value of what it is that we do on the progressive side...And I think they feel a little more entitled to ask for something now."

After reading this I immediately went to Ms. Madrak's blog only to read the following quote:

"Just got off the phone with another reporter. I told her no, I wasn’t specifically trying to get bloggers to join a union but rather, I was looking at any and all vehicles through which bloggers could affiliate and thus get affordable health insurance. No, there really wasn’t anyone we could bargain with about wages and working conditions, and yes, I did think we deserved support as opposed to someone who blogs about, say, model trains, because after all, we raised lots and lots of money for Democrats last year and targeted it into key races - namely, that our strength was in making local races national, and sending financial support their way."

The reality is that Ms. Madrak is not directly calling for the unionization of bloggers, but she is advocating for their right for health insurance and better overall support.  The question is, where and who will bloggers receive this support from?