Definition
Mandatory Subject in Collective Bargaining refers to the essential topics that must be negotiated between employers and labor unions during the collective bargaining process. These subjects are legally required to be discussed, and refusal by either party to negotiate can lead to a formal complaint with the National Labor Relations Board (NLRB).
Key Components
- Hours: Discussions about employees’ working hours, including overtime policies, daily and weekly work schedules, and other time-related issues.
- Wages: Salaries, wage scales, pay increases, bonuses, and other forms of monetary compensation.
- Medical Benefits: Health insurance, dental coverage, vision care, and other health-related benefits.
- Pensions: Retirement plans, pension contributions by both the employer and employees, and other long-term financial security measures.
If one party refuses to discuss these subjects, the National Labor Relations Board (NLRB) can intervene to determine whether the subject is mandatory.
Examples
- Negotiating Work Hours: A company and union might negotiate a new schedule that reduces weekly hours but ensures no loss in wages.
- Establishing Wage Increases: Unions and employers often negotiate annual salary increases based on performance or cost of living adjustments.
- Adjusting Medical Benefits: During negotiations, an employer might agree to better health insurance coverage in exchange for higher employee contributions.
- Updating Pension Plans: Employers and unions may reach an agreement to increase employer contributions to employee pension funds.
FAQs
Q1: What happens if an employer refuses to negotiate a mandatory subject? A1: If an employer refuses to negotiate a mandatory subject, the union can file a complaint with the NLRB, which can mandate negotiations.
Q2: Can the NLRB rule on what constitutes a mandatory subject? A2: Yes, the NLRB can make determinations on whether a particular topic is considered a mandatory subject of collective bargaining.
Q3: Are items like job safety and workplace rules considered mandatory subjects? A3: While not always explicit, job safety and certain workplace rules may be negotiated if they directly affect wages, hours, or other conditions of employment.
Q4: How often are these mandatory subjects renegotiated? A4: These subjects are typically renegotiated at the end of a collective bargaining agreement term, which can range from one to several years.
Q5: Is job security a mandatory subject? A5: Job security can be considered a mandatory subject if it affects wages, hours, or other terms and conditions of employment.
Related Terms
- Collective Bargaining: The negotiation process between employers and a group of employees aimed at agreements to regulate salaries, working conditions, and other aspects of workers’ compensation and rights.
- National Labor Relations Board (NLRB): An independent agency of the federal government that enforces U.S. labor law in relation to collective bargaining and unfair labor practices.
- Labor Union: An organization representing workers’ interests, primarily through negotiations and collective bargaining with employers.
- Fair Labor Standards Act (FLSA): United States federal law that establishes minimum wage, overtime pay eligibility, recordkeeping, and child labor standards.
Online References
Suggested Books for Further Studies
- Collective Bargaining and Labor Relations by Thomas S. Bateman
- Labor Relations: Development, Structure, Process by John Fossum
- The Complete Idiot’s Guide to Labor Law by Corbin Collins
- Union Power: The Rise and Fall of Teams! by Ruth Milkman
- Labor Unions: History, Power, and Impact in 2020 by Daniel Falcone
Fundamentals of Collective Bargaining: Business Law Basics Quiz
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