Question

Labor Relations- Chapter- C o l l e c t i v e B a r g a i n i n g R i g h t s

Case study- Gros Morne Electric

Gros Morne Electric is an electrical contractor that does work in the residential construction industry. All of the company’s work comes from non-union general contractors. The company pays wages that are approximately 20 percent lower than the union rate of pay. The International Brotherhood of Electrical Workers (IBEW) started an organizing campaign at Gros Morne. Shortly after the organizing campaign became public knowledge, the president of the company said at a meeting of employees that he could not compete in a union market, and stated that the company would have to close its doors if the union was certified. When individual employees approached the president and asked him about his thoughts on the situation, he said that he did not like the IBEW. In response to the organizing campaign, the company president sent a letter to all employees, making the following points: n Employees and management were part of a team, and the company had been successful with people working together. n The president was pleased that the company was able to report to inquiring banks and mortgage companies that employment was full-time and permanent. n Certification of the union would mean that employees would have to pay union dues. n Certification would mean that the company would be on shaky ground because it would now be competing in a new unionized market. n The company had never laid people off for more than a few weeks in the past. n Certification would mean that the company would lose a few good people.

Questions:

1. Has the employer committed any unfair labour practices?

2. If any unfair labour practices have been committed, what remedies could the union pursue and how would it do so?

Answer 1

Question 1 answer

The discriminatory practices are found by the employer in this case. The company provides lower wages than union standard wages as discrimination on labor activity basis is not allowed. Employer also threatens employees to form a labor union as the employees have basic rights to organize. Employer is also not entitled to discourage employees’ membership of a union. These discriminatory practices reveal that unfair labor practices are committed by the company

Question 2. Answer

The union should choose a collective bargaining with employer regarding wages, and employment terms of employees. The union should ask on bargaining table that employer will not threaten employees further to form a union, and do not offer benefits or promotions to employees for not supporting union.

In case of impasse between union and employer, national labor relation board can determine whether impasse has occurred and in certain cases can help union to file case against employer in a court. The board can also ask employer to provide back pay if employer has fired employees when they form a union.