strikes & dispute resolution chapter 9 © 2012 nelson education ltd
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Copyright © 2012 Nelson Education Ltd. Defining Industrial Disputes Industrial Dispute disagreement arising in connection with a collective agreement entering, renewing, or revising Strike work stoppage invoked by a union 9-3TRANSCRIPT
Strikes & Dispute Resolution
Chapter 9
© 2012 Nelson Education Ltd.
Copyright © 2012 Nelson Education Ltd.
Learning Objectives At the end of this chapter, you will be able
to discuss: the different types of industrial disputes the various statistics used to measure strikes the theories, causes and impacts of strikes typical grievances and arbitration procedures other common conversion and alternative dispute
resolution procedures and why nonunion employers also use grievance and
alternative dispute resolution mechanisms
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Defining Industrial Disputes Industrial Dispute
disagreement arising in connection with a collective agreement
entering, renewing, or revising Strike
work stoppage invoked by a union
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Defining Industrial Disputes Work to Rule
employees perform only to minimum standard required
Wildcat Strikes illegal strike during the term of the collective
agreement
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Defining Industrial Disputes Lockout
a work stoppage invoked by management
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Strike Statistics Total number, frequency Number of workers involved Person-days not worked Percentage of working time lost
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Strike Statistics9-7
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Strike Statistics9-8
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Strike Trends By region
PEI, Territories vs Ontario, BC By industry
tourism vs manufacturing Internationally
standards for reporting vary comparisons difficult
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Theories, Causes, & Impacts of StrikesKramer and Hyclak: three common theories of strikes
Accident theory Total joint costs Asymmetric information
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Strikes represent accidents Rational negotiators avoid high costs of
work stoppage Strikes should be unexpected
errors at the bargaining table misunderstandings of goals mismatched expectations
Accident (or Hicks) Theory
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Strikes more likely when cost of strike is relatively low for both
parties cost of settling is high compared to cost of
striking Difference in cost of strike to one party
relative to the other shifts bargaining power
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Total Joint Costs Theory
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Asymmetric Information Theory Strike or lock to call the other side’s bluff Strike to gather more information about
other party’s claims information not easily accessible in other
ways
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Catalysts single event
Insolated and Homogeneous Groups unpleasant work strong bonds
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Strike Causes
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Management Indifference or Unresolved Grievances
Frustration-Aggression Economic Factors Intra-Organizational Factors
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Strike Causes
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Economic Value of firm Employee finances
Worker Well-Being Relationships, rapport Commitment
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Strike Impacts
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Grievances Grievance
A formal complaint that a specific clause in the collective agreement has been violated
Types of grievances Individual Group Union or Policy
initiated by union leadership
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Grievance ProcedureParties
employee often the initiator of the grievance
union usually first represented by shop steward
management usually first represented by immediate
supervisor third parties
mediators, arbitrators
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Process Informal stage
not required, often not in collective agreement
Formal Step 1 employee, supervisor, written
Continued…
Grievance Procedure
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Formal Step 2 next level of management/union reviews
Formal Step 3 executive level review, several members
present Formal Step 4
third party intervention
Grievance Procedure
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Grievor Characteristics minor role
Management Characteristics stricter discipline consideration
Union Characteristics informal resolution, training
Grievance Initiation
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Rights (or Grievance) Arbitrationconcerning alleged violations of the collective agreement
Interest Arbitration determines terms and conditions of collective agreement while its being negotiated
Arbitration
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Similar to legal proceedings prima facie case evidence culpable
Key differences may follow Jurisprudence but not required probable cause final and binding
The Process
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Mitigation Factors argued by the union to reduce a sanction
work record length of service isolated event inconsistent application of rules
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The Process
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Written decision grievance denied grievance upheld grievance partially upheld
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The Process
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Key Arbitration Issues
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The Forms of Arbitration Conventional Tripartite Arbitration
most common three member board neutral chairperson
Sole Arbitration neutral chair only
Expedited Arbitration short time frame, no choice
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Problems with Grievance Arbitration Long delay Costly “Outsider” factor Increasingly legalistic
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Interest Arbitration Resolves disagreement during bargaining Alternative to prohibited strike Conventional Interest Arbitration
arbitrator can choose among the proposals or fashion another
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Interest Arbitration
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Final Offer Arbitration arbitrator must choose one of the
parties’ proposals First Agreement (First Contract) Arbitration
arbitration that determines the first collective agreement
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Alternative Dispute Resolution ADR
resolving disputes without going to court Grievance Mediation
voluntary non-bidding process neutral third party examines the grievance
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Alternative Dispute Resolution Adopted in non union firms
high performance work system alternative to litigation union substitution
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SummaryA variety of conversion mechanisms Strikes
theories and impacts Grievances Arbitration
rights, interest Alternative dispute mechanisms
mediation and conciliation
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