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Turning to a union―what’s going on?

by Richard Reinhardt

Under the National Labor Relations Act, all employees―whether they work for government employers, unionized companies, or private companies without a union―have a right to attempt to unionize and speak with other employees about unionization or the terms and conditions of their employment. As traditional union strongholds such as automobile and manufacturing decline, unions are aggressively attempting to expand into the retail and service industries. Now is the time for employers to understand why employees turn to unions and what they can do to stop that.   

An employee’s perspective
When you bring on a new employee, keep in mind that where she came from may affect her expectations about her new work environment. If an employee moved from a Midwestern state such as Michigan, which has long been associated with unions, to a “right-to-work” state, she or her family members may belong to a labor union. Thus, managers should be concerned that her initial response to a problem may be to turn to a union.

Many employees who have worked in a union environment for a significant period of time believe that the union, not the employer, provides wages, benefits, and job security. They also become convinced that if they have a problem, a third party should address it. Former union members have a difficult time believing that in a well-managed, union-free company, management wants to know about employee problems and wants opportunities to solve them.

Employers must stay ahead of the issues and keep the lines of communication with employees open. Today, most employers realize that if they want to attract and retain quality employees, management must resolve issues quickly and fairly.

Union membership statistics
Union membership in the United States has been declining for more than 70 years. In 1945, about 35% of workers were union members. Unions were at their peak during the mid-1940s and early 1950s. Today, most private-sector employees do not belong to a union. If you include public employment―the only area where unions have grown―11.5% of workers belong to a union. According to the Bureau of Labor Statistics, only 6.7% of private-sector employees are union members. In Arizona, only 5% of employees belong to a union. Even in Michigan, only 16.3% of employees are unionized.

Recent success of unions
Although the union-organizing business in the private sector has been weak for 70 years, recent union success has some commentators believing union membership may increase. The National Labor Relations Board (NLRB) has issued many significant pro-labor decisions under the Obama administration. In addition, with the economic challenges of the last six years, many companies have forgotten the importance of employees. When employees get frustrated with the way management treats them, they become excellent candidates for unionization.

During tough economic times, not only are employees who lose their jobs harmed, but employees who keep their jobs are also negatively affected. Employees are now doing more than just their job. While business has improved for a lot of companies, it has not resulted in more hiring. Additionally, pay increases have been smaller and less frequent than in the past. Further, in many companies, insurance benefits have been reduced, and employee contributions have increased.

Bottom line
So what does all this mean? When employees get frustrated with the pace at which management solves problems, it can result in unions filing election petitions. In cases in which management does not appear to be listening, union-organizing success rates have been extremely high. For instance, in recent years, unions have won more than 50% of all representation elections held. Last year, unions were successful 64% of the time. That’s a disturbing trend for employers that are concerned about unions. If managers work hard to create positive employee relations, workers will be less likely to turn to a union.

Richard Reinhardt is a management consultant with F&H Solutions Group. He specializes in helping clients create positive employee relations climates. You may contact him at rreinhardt@fhsolutionsgroup.com.

4 thoughts on “Turning to a union―what’s going on?”

  1. A very large company that never unionized was Eastman Kodak in Rochester NY. It was never necessary. Employees were paid well—lots of vacation–good healthcare etc. Kodaks downfall was not over paid employees. It was strange management that sold off the most profitable subsidiaries. Top management was a tool of Wall Street and has just about dusted off one of Americas primere companies. Unions have a reason to exist. The people who run companies are not up to the job of dealing with people–instead they work to promote themselves within the company or they are folks who know little about the work of those that they supervise.

  2. Richard Reinhardt is so off the mark on this , it is unreal. I don’t know what world he lives in but he obviously has no idea. His prpaganda is the problem. Spreading false information to the general public is a very serious problem.
    Where did he get his info that people believe that the union pays thier wages?? REALLY ?!! That is so absurd ! That is just an outright LIE !! Workers like the unions because they know that they will bargain for them for a living wage and there is no fear of retaliation when you go up against the company when something thier doing is wrong. Try it without a union and you butt will be out the back door. Oh sure , you can go downtown and file a complaint but lets be 100% honest. They will find for the company every time.
    Companies don’t want to work with the employee’s. They don’t want to pay them a living wage. They don’t want to give them any benefits. The top dog, poor little rich boy wants all the profits going into his bank account and piss on the workers. They are expendable. If they dont like it , leave.
    People in America are hard workers and do care about thier product.It’s the top brass who dont care and all they want to see is a higher profit margin line for them. They could really care less about the lowlife workers who make thier profit for them.

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