Introduction

The Basics

Operating the Union

Contract Administration

Organizing

Building Trades and
Other Organizations

Labor Law

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Negotiating a New Agreement

Some economics texts treat negotiations as if there were a formula for success just waiting to be discovered by bargainers. The process, of course, is far more complex.

It’s true that both sides may present initial demands that greatly differ from the final agreement. However, each side may be representing legitimate interests, no matter how excessive the demands may seem. In practice, these demands, however wild, sometimes are met without controversy. There has to be room for movement too, if there is to be good faith bargaining.

For more in-depth information on negotiations, click here.

Statutory Notice Requirements

At least sixty days notice to the other party must be given of the intent to modify, terminate or renegotiate an existing collective bargaining agreement. If no agreement is reached within 30 days of the expiration date, notice must also be provided to the Federal Mediation and Conciliation Service and to the state mediation agency, the Indiana Education Employment Relations Board (see address below). Failure to give required notice creates a cooling-off period during which a strike or lockout is unlawful until the notice period has elapsed.

Indiana Education Employment Relations Board
Indiana Government Center North
100 North Senate Avenue, Suite N-1049
Indianapolis, Indiana 46204-2211

In the health care sector, notice to the other party must be given 90 days prior to expiration and notice to the FMCS and state mediation service 60 days prior to expiration. In addition, ten days notice must be provided of the intent to strike or picket a health care facility, but only if the picketing is being conducted or directed at the employees of a health care facility; picketing over disputes involving employees of construction contractors, for example, is not subject to the ten-day notice requirement even though the picket may be stationed at or near a health care facility.

Click here for a copy of the FMCS notice form (PDF file).

First Contracts

The initial contract is critical for the union and often the result is a difficult and protracted bargaining process. The contract is the goal of an organizing campaign. In a “top-down”campaign, unions exert lawful economic pressure on an employer to sign the labor agreement. In a “bottom-up campaign, the ultimate contract strategy remains the same. An intermediate goal is to win either an election vote among employees or the voluntary recognition of the union by the employer. In either case, preparing to bargain a first contract should begin during an organizing campaign. Once certified as the exclusive bargaining representative, the union has only a year in which it is presumed to represent the majority of the workers. Without a signed agreement, after a year the employer can fairly easily walk away from its bargaining relationship with the union. The union should develop a strategy for worker communication early in any campaign.

Click here to view related information on union security agreements.

Multiemployer Bargaining

Construction locals, unlike other unions, are established with a fixed territorial jurisdiction. If the union is to grow (or even maintain its position in the market), contractors working in its area must sign the prevailing collective bargaining agreement. Unlike most other industries, contract bargaining takes place with multiple employers. This is advantageous to both sides.

The advantage to the local union is that wages are removed as a competitive factor between signatory employers. The advantage to employers is that they will not be underbid on labor by their market competitors. Each signatory contractor has access to the same labor pool with the same labor costs.

First contracts are an important consideration in organizing when a union has a multi-employer agreement. The union wants to maintain contract terms that are standardized for as many employers as possible. A break in the pattern would provoke other employers to request similar terms and conditions under a Most Favored Nations Clause.

Students often comment about the necessity of public support for negotiations. It’s important to keep in mind that the public’s influence on bargaining power usually is indirect. Not surprisingly, responsiveness to public opinion probably is greatest in the public sector.

A comment on the inefficiencies of bargaining. Initial contract demands sometime greatly differ from the final agreement. However, as a union negotiator, you are representing legitimate interests, no matter how excessive the proposal may seem to employers. Seemingly controversial language sometimes is adopted with minimal discussion. There has to be room for movement too, if there is to be good faith bargaining.

Another thing to consider tactically is the legal framework for bargaining. Proposals relating to wages (including fringe benefits), hours and conditions of employment are mandatory subjects of bargaining, i.e., they must be discussed. Other demands, if they are not prohibited by statute, are considered permissible subjects that may be discussed only if both parties agree. Reaching agreement on all of the mandatory items may spell the end of negotiations, even though important permissible items remain on the table. Thus, the early rounds of bargaining usually concern issues that may seem trivial in relation to the major issues at stake.