US Labor Unions - Research Paper Example

? Major Project US Labor Unions (College US Labor Unions Introduction Labor unions in America are known as the representatives of workers in many industries. Some prominent sectors where unions are strong are teaching and policing. The present day labor unions in the United States concentrate on collective bargaining rights over wages, benefits and working conditions. There are two umbrella organizations with which most unions are connected. They are the American Federation of Labor- Congress of Industrial Organizations (AFL-CIO) which had its beginning in 1955 and Change to Win Federation which had its birth from AFL-CIO in 2005. Both these organizations advocate rules and policies favoring workers in the US, and play an active political role, mostly favoring the Democratic Party. The recent Economic Crisis of 2008 that shook the economic basis of the US found the Labor Unions a burden. According to some people, the three major automakers of US found it difficult to cope with the changing situations and to compete with their global opponents as a result of the costly labor agreements including pension and health plan. As a result of this poor economic condition, states, especially the ones led by Republican Party like Wisconsin, Ohio, Tennessee, Michigan, and Illinois have introduced bills that would result in salary cuts, and some are planning to restrict the collective bargaining rights the workers enjoyed in the US for about a century. Thus, it becomes evident that the labor unions, despite decades of struggle and violence, seemed to have gained little as the new developments take away most of the freedom they gained over a century. Though polls reveal that most people are against this governmental step, the Democratic Party seems strong in its decision. Anyway, it is clear that it is high time for labor unions to have a well-defined strategy that does not intimidate the public, confuse the judiciary, and hinder the national growth. History of Labor Unions in the US The history of trade unions in the US can be traced back to 1869. On December 28, 1869, Uriah Stephens founded ‘Knights of Labor’ in Philadelphia. It became a significant force in labor organizing by bringing the labors throughout the country under one roof of management. However, it faced eventual collapse due to poor organization. Though there were labor protests even before 1800s, they were poorly coordinated and localized. The first recorded labor union strike took place in 1786 in Philadelphia. It was conducted by printers opposing a wage cut. However, the first major strike that brought the idea of the never ending conflict between workers and business owners was the railway strike in 1877. It was against the Baltimore and Ohio railroad and it spread to the whole of northeast. To curb the violence, troops were called out and using considerable amount of force, the strike was crushed. Throughout their history, the labor unions used ideologies ranging from intimidation, threats, vandalism, and violence, and their history was never peaceful. Another important incident (cited in Foner, 27-37) that deserves to be mentioned is the Haymarket Riot that eventually led to the development of AFL. On 4 May 1886, a labor rally was conducted at the Haymarket Square in Chicago in support of the eight-hour workday. However, the rally turned violent leading to bloody clashes between the agitators and police. The courts had a rough time dealing with the legal status of labor unions. The question was and still is whether these cartels of laborers lawful or not? Do they amount to criminal conspiracies against trade? Are the strikes an expression of the individual right to bargain for lawful employment? One can find a lot of disparity in the issue from the very beginning. To illustrate, as Tomlins (p.128) reports, in the 1806 Commonwealth v. Pullis, the jury convicted the accused unionists of criminal conspiracy. However, as Bennett, Heard and Holland (235) write, in Commonwealth v. Hunt (1842), the Massachusetts Supreme Judicial Court held that the boot makers’ union is lawful and that the union has the right to organize and collectively withhold labor. Though the courts have not legitimized violence and threats as lawful means of strike, they have failed in introducing clear demarcation, revealing a big hole in the judiciary. Anyway, the Haymarket incident of 1886 and the consequent turmoil in the labor unions made them realize the need for coordination. Probably as a result of this, Samuel Gompers set up the American Federation of Labor (AFL) on December 8, 1886. The remaining period of history saw this organization growing to play a crucial role in the labor movement of the nation. However, as a terrible blow to the labor unions and their collective bargaining, in 1890, Congress passed the Sherman Anti-Trust Act. Though this Act was intended to regulate businesses, it was used to thwart labor union activities as even the bargaining of labor unions was labeled cartels. Many more violent strikes were in the pipeline. One prominent strike among them was the Homestead Strike at the Canegie Steel Company in 1892. With the aim to break the amalgamated Association of Iron, Steel and Tin workers unions, the owner Andrew Carnegie and manager Henry Clay Frick closed the mill as the employees rejected his suggestion for 22 percent salary cut. To fight the union, the Company hired Pinkerton detectives. However, there was a fierce fight between the workers and the detectives that resulted in the death of sixteen people. Eventually, the union failed, and the desperate workers joined back their duty accepting 25 percent wage cuts. Similar incidents took place in all other steel plants throughout the country. Another strike that should be mentioned when describing the struggle of US labor unions is the 1894 Pullman strike. The Depression of 1893 seriously affected the performance of Pullman Palace Car Company. As a result, the employees had to face cost-cutting measures ranging from a cut of labor force and a 25 percent salary cut. To meet their ends, the grieved employees sought the help of Eugene Debs, the founder of American railway Union. Soon, the employees implemented a national boycott. At first, the strike seemed to win the battle but as the 1894 June 29 rally turned violent, destroying yards, and derailing a locomotive, the Attorney General got a chance to get an injunction against the strike. However, to make things worse, the strikers decided to disrupt the mail traffic. This created feeling against the strike in the minds of the public, and the government sent troops to control the situation. Soon, Debs and some other labor union leaders were arrested and the strike failed. Thereafter some employees were allowed to return to their previous positions but only after signing the ‘yellow-dog’ agreement that they would not join any labor union and that the violation of this agreement would be a sufficient ground for their dismissal. The year 1905 witnessed the birth of Industrial Workers of the World (IWW) in Chicago. Five years later, a bomb exploded at the headquarters of the Los Angels Times which killed twenty-five people. Soon, two members of the Iron Workers Union were arrested, making the image of labor unions even worse in the public minds. The first labor action by women in the history of America took place in 1909. More than 20000 workers from around 500 factories walked off their jobs under International Ladies’ Garment Workers’ Union (ILGWU). The year 1911 saw an incident that revealed the pathetic condition of workplace and arousing some public sentiments. It was the Triangle Shirtwaist factory fire that led to the death of 146 females. The first step favoring workers took place in the year 1912 in the form of Minimum Wage Law in Massachusetts. Soon, similar laws were adopted by other states too. Following this, the Federal Government established the Department of Labor. However, there was no end to the suffering of the working class. In 1914, one of the most brutal attacks on workers took place at Colorado Fuel and Iron Corporation’s CF+1. In 1913, the workers of CF+1 evacuated the mines as a protest against the low wages and poor working conditions. As a striking strategy, the strikers organized tent cities to block the strike-breakers joining works. However, using machine guns, the Company’s guards attacked workers killing many. Sooner, National Guards were sent by the government, attacking and killing many more. However, as the news of the massacre spread, works throughout the country went on strike to express solidarity with the suffering. Still, the workers could not achieve the target they set, thus, once again proving the difficult path they had to stride. It is evident from the history of US labor unions that every strategy ranging from socialism, syndicalism, anarchism, cooperatives, political unionism, and collective struggle of unions under one banner were all used. However, it becomes evident that the unions in America lacked the Marxist-style sentiments about pathetic conditions of the workers. In addition, the American general public viewed the labor unions with horror and doubt, especially when there was violence. Thus, the view that unions can be used for radical social changes soon gave to ‘business unionism’ that accepted the capitalist wage, and political system and tried to gain marginal gains for the members of the unions. The period of Great Depression saw a number of laws favoring workers. The first one was the Davis-Bacon bill of 1931. The bill was the result of a dramatic decline in construction activity. As a result of the decline in construction activity, there arose fierce competition among contractors, and as a result, the contractors who came up with migrant labors commonly underbid the contractors with local work force. The bill required that the workers of all federally financed constructed should be paid wages at ‘local prevailing rates’. The purpose was to protect the workers from the competition of migrant workers. In addition, as there was ambiguity regarding the minimum wage in different places, there was a chance to give the unions the wage they asked for. Another significant ruling in favor of workers came in the year 1932 in the form of Norris-LaGuardia Anti-injunction Act. The act was the result of the 50 year long struggle of unions. The act did three favors to the labor unions. Firstly, it made the ‘yellow-dog’ (no-union agreements) void in federal courts. Secondly, it allowed immunity from the antitrust law to labor organizations thus giving green signal to the wrongful deeds. Finally it allowed immunity to labor unions from private damage suits. As an inevitable consequence, there was a dramatic rise in the number of strikes throughout the nation. Thus, for the first time in the history of the US, labor unions gained an upper hand over the business men. More rules were to follow in favor of labor organizations. The next one in the list was the National Industrial Recovery Act of 1933. Through the Act, the collective bargaining power of labor unions was promoted. Following this, the National Labor Relations Act took birth in the year 1935. The act was meant to control the court and the enterprises in their anti-union activities. Firstly, the Act gave birth to a politically created National Labor Relations Board to ensure proper implementation of the Act as an anti-dot to the frequent anti-union rulings of the courts of law. In addition, the Act addressed a number of unfair labor practices adopted by enterprises. Furthermore, the act enforced majority elections for union representation. Yet another feature was the enforcement of union pay rates to both members ad non-members. In 1936, the Public Contract (Walsh-Healey) Act came into existence that was aimed to strengthen what the Davis-Bacon Act tried to achieve. The Act was meant to allow the Secretary of Labor to ensure minimum wage in almost all businesses contracting with the government, that is, in contracts over $ 10,000. Another rule that enormously favored the labor organizations is the Fair Labor Standards Act of 1938. According to this Act, the minimum wage should be 25 cents per hour. As of 2009, the minimum wage is $ 7.25 per hour, showing a 29 times increase. However, there was a shift back to preservation during the Second World War. As a result of the War, it became necessary for Roosevelt to control wages and prices. So, National War Labor Board was developed to set wages and prices at below market-clearing levels. In addition, Roosevelt got open-ended authority to control all prices and wages. Despite the best efforts from the War Labor Board, and the President, the labor unions showed their callousness through more work stoppages in the year 1943 than even before. One can undoubtedly say that the attitude of labor unions crossed all limits during the hours of crisis, and as an inevitable consequence, the Labor-Management Relations (Taft-Hartley) Act took birth in the year 1947. The act was unanimously supported by both the Republicans and the Democrats, thus proving the bad image the labor unions created of themselves. The act was introduced as a remedy to the excess of freedom allowed to the labor unions through the Wagner Act. This new Act introduced a number of prohibited union actions or ‘unfair labor practices. According to the new Act, it was unlawful for unions to have jurisdictional strikes, wildcat strikes, political strikes, secondary boycotts, common sites picketing, closed shops, and money donations to federal political campaigns. In addition, union officers were to sign non-communist affidavits with the government. Moreover, the government restricted union shops from compelling employees to take union membership or to make due payment to retain their jobs. Instead, the government retained the right to pass “right to work” laws. Yet another terrible blow came in the year 1959 in the form of Labor Management Reporting and Disclosure Act, as a response to the corruption and undemocratic practices found in Teamsters, Longshoremen’s Association, and United Mine Workers. As per the Act, unions had to submit annual financial reports to the Department of Labor. Secondly, minimum standards had to be followed before taking disciplinary action against any member of the unions. After all these, the labor unions allege that business and the administration are united in thwarting the interests of the working class. Probably as a result of this, the Employee Free Choice Act appeared that is meant to amend the National Labor Relations Act. This new Act would allow NLRB to certify a union as bargaining agent for all employees in a unit, if it is found that a majority had signed authorizations designating the labor organization as their agent. Current Issues Faced by Labor Unions Davey and Greenhouse (2011) report on February 16, 2011 that Madison witnessed the angry protests of public workers against the plan to make them pay more for health insurance and pensions. This step results in about 7 percent fall in their take-home pay. More importantly, the new bill is planning to take away the collective bargaining rights of labor unions. Despite these upsurges, Governor Scott Walker opined that there is no other way other than going ahead with the plan as the State is witnessing a deficit of $ 137 million in the current budget. In addition, it is pointed out that the public sector unions are going to feel the weight of the state arm as it is planning to curtail their collective bargaining rights. Similar issues are created in other States too. According to the report, Ohio saw workers protesting outside the Statehouse in Columbus as a response to the bill that limits the collective bargaining for state employees. Similarly, in Indianapolis, teachers rallied against the state decision that would restrict contract bargaining for teachers’ unions. In addition, a similar bill is being formed in Tennessee (Davey & Greenhouse). As per Alert Pay, UM News reports, Madison is going to require the state employees to contribute 5.8% of their pay to their pensions and to at least 12.6 percent of their health care premiums; and according to Ronald Greene, Associate professor in the Department of Communication Studies at University of Minnesota, the issue is serious as it violates the fifty years long tradition of collective bargaining rights. However, the issue has achieved national importance as President Obama denounced the bill stating that it is an “assault on unions”. Thus, it has become a combat between Republicans and Democrats. To defeat the bill, fourteen Democrat state senators left Madison. However, to complete the quorum, Walker is in search of the missing Democratic leader Mark Miller. The bill, if passed, will force most state, local, and school employees to pay half of their pension costs and 12.6 percent of their health-care costs. In addition, unions which represent workers except troopers, firefighters, and police will have their collective bargaining power taken away by the state. Their bargaining power will only be allowed in wages, and that too, will be subjected to inflation. However, similar situations are going to take place in other states very soon. To illustrate, in Ohio, Governor John Kasich is developing a bill that is going to remove collective bargaining power from state workers. In addition, there will be measures to remove automatic pay increases and public-employee strikes. Similarly, in Tennessee, a bill is going to get passed that will eliminate collective bargaining rights of union. Similarly, In Michigan, new legislation is to come that will take away the unions’ power to negotiate state-worker contracts. Moreover, Illinois Governor Pat Quinn signed a bill that is meant to control certain state workers’ rights to join a collective bargaining unit. Despite all the efforts from the part of worker unions and democrats, the Wisconsin Assembly passed the bill after three days of debate. However, by this time, the battle against the bill reached all 50 states in the US and the nation saw rallies across the country under the leadership of liberal advocacy group MoveOn.org. Giving a boost to the protestors, Labor Secretary Hilda Solis opined that Wisconsin and Ohio Governors are ‘not just asking workers to tighten their belts’ but are demanding the unions give up their uniquely American rights as workers. However, the period witnessed the movement of the issue to the Court. Based on a suit filed by a Democratic district attorney alleging that the Republican legislators called a committee meeting to amend the bill without providing 24 hours advance notice, the Dane Country Circuit Court Judge Maryann Sumi issued an injunction halting the enactment of the law. It forbade the Secretary of State Douglas La Follette from publishing the law. However, the State’s Legislative Bureau published the act. The reason, according to the state’s Department of Justice, is that the legislative reference bureau can publish an act without any action from the part of the Secretary of the State. In addition, it is pointed out that Sumi has no jurisdiction over state law makers and Wisconsin’s Secretary of State. However, as CNN reports, the Judge again put the enactment on hold stating that violating the court order can jeopardize the governmental stability. However, the protestors at Wisconsin are of the opinion that President Obama has to join their fight against salary cut. The demand got stronger after Obama opined that the initiative is ‘an assault on unions’. As reported in Huffpost Politics, Richard Trumka, the president of the AFL-CIO said that ‘the labor movement has a rich and vibrant future. He said “for more than a generation, we have been fighting back against a coordinated, corporate-led assault on working people. Most of the time, we have gone from one fight to the next with scarcely a moment to rest.” (Huffpost Politics, 7 April 2011). However, one cannot claim that all are in favor of labor unions. An opinion poll conducted by Rasmussen Reports found that while 52 percent opposed the government initiative of weakening collective bargaining rights, 39 percent supported the governor; in addition, 44 percent of the respondents support a 10 percent salary cut. In addition, as Cooper and Thee-Brenan report in New York Times, 60 percent people oppose the weakening of bargaining rights of public employee unions while 33 percent supported the move. Still, Governor Scott Walker seems convinced in his position, and on 10 March 2011, he praised the GOP for passing the bill. According to him, it will be helpful in saving jobs, and balancing the budget. Amidst all these chaos, the bill was passed by the Senate on 9 March 2011 in a disputable way. As the Democrats fled to Illinois to block the passing of the bill in the Senate, Republicans removed the financial elements from the bill, and then passed the bill next day. As a response to the surprise move, Assembly Democratic Leader Peter Barca reached the court getting an injunction to keep the law on hold. Though the state has reached the Wisconsin Supreme Court, no decision has been taken so far. As per US Today (1st April, 2011) report, though Republicans succeeded in passing the bill, the temporary injunction has stopped the law from taking effect until the matter is decided by the Supreme Court, means a lot of time. Conclusion In total, it becomes evident that sooner or later, the labor unions are going to face a fall in the take-home money they gain. In addition, if they lose this battle, the collective bargaining right they enjoyed will vanish. It is the unconditional support offered by Democrats to the labor unions that helped them put the implementation of the law on hold. Still, it is yet to see as to what is decided by the Supreme Court as there is a significant proportion of the population that believes that the labor organizations should be controlled as otherwise many more enterprises will face the situation met by the three major automobile manufacturers including General Motors. Anyway, it is clear that it is high time for the labor unions to change the methods they adopt to achieve their goals. Century old agitation gained nothing for them. Many were killed, many were injured and innumerable numbers of workers were expelled from work. To make governments help them, they should be united, and must have a clear strategy and leadership. To sum up, in the US, trade unions will have to run a lot before getting a chance to rest on their laurels as new issues will go on appearing as is evident from the history of labor unions in the United States. Reference Bennett, E. H, Heard, F. F & Holland, H. W. (1862). The Massachusetts Digest: Being a digest of the decisions of the supreme judicial court of Massachusetts from the year 1804 to the year [1869]. New York: Little Brown and Co. CNN Wire Staff. (March 2011). “Wisconsin judge again halts collective bargaining law”. CNN Politics. http://articles.cnn.com/2011-03-29/politics/wisconsin.budget.law_1_wisconsin-law-state-douglas-la-follette-open-meetings-law?_s=PM:POLITICS Cooper, M & Thee-Brenan, M. (Feb 2011). “Majority in poll back employees in public sector unions”. The New York Times. Retrieved from http://www.nytimes.com/2011/03/01/us/01poll.html Davey, M & Greenhouse, S. (Feb 2011). Angry demonstrations in Wisconsin as cuts loom. The New York Times. Retrieved from http://www.nytimes.com/2011/02/17/us/17wisconsin.html?_r=2 Expert Alert. (n.d.). UM News. University of Minnesota. Retrieved from http://www1.umn.edu/news/expert-alerts/2011/UR_CONTENT_310560.html Foner, P. S. (1986). May Day: A Short History of the International Worker’s Holiday 1886-1986. Canada: International Publishers Co. “Richard Trumka, AFL-CIO president, lays out bridge future for unions in wake of Wisconsin in protests”. (April 2011). Huffpost Politics. Retrieved from http://www.huffingtonpost.com/2011/04/07/wisconsin-election-protests-unions-afl-cio_n_846264.html Tomlins, C. L. (1993). Law, Labor, and Ideology in the Early American Republic. USA: Cambridge University Press. “Wisconsin poll: support for budget cutting, not for weakening collective bargaining rights”. (March 2011). Rasmussen Reports. Retrieved from http://www.rasmussenreports.com/public_content/politics/general_state_surveys/wisconsin/wisconsin_poll_support_for_budget_cutting_not_for_weakening_collective_bargaining_rights “Wisconsin union law likely on hold for 2 months”. (April 2011). USA Today. Retrieved from http://www.usatoday.com/news/nation/2011-04-01-wisconsin-union_N.htm Read More