Member support for union mergers: An analysis of an affiliation referendum

A changing labor relations climate has caused many national unions to merge with smaller independent unions in recent years. One aspect of the merger process concerns the willingness of independent union members to support affiliation with a national union (Chaison, 1986). This article examines the determinants of indivudual-level voting behavior using data gathered from members of an independent union who rejected a proposed affiliation with a national union in a membership referendum. Logistic regression results indicate that affiliation supporters perceived the affiliation as improving union effectiveness, were influenced by social support among co-workers in favor of the merger, and perceived the saliency of the independent union’s support for the affiliation proposal. Conversely, affiliation opposition was influenced by the employer’s “vote no” campaign and by perceptions that affiliation would lead to an increased probability of strikes and to future increases in dues.     

The union wage effect in Canadian manufacturing industries

Data for Canadian manufacturing industries, at the two-digit level, are used to examine the component elements of the union wage effect. The results show that absence of compulsory union membership for all employees in the bargaining unit served by a union does not significantly impair the ability of the union to negotiate wage gains. That is, our results imply that there is little reason for unions to devote much effort to negotiating the stronger forms of union security — union or closed shops. A second implication of our results is that significant bargaining advantages may accrue to unions with an international (U.S.) link, relative to Canadian national unions.     

Outsourcing and union power

The outsourcing of union work and jobs either diffuses or diminishes union membership, depending on perspective and situation. The correlation of trends in union membership to trends in union power, while less than perfect, has until recently been relatively strong over the past sixteen years. The fact that as diverse a sample of unions as AFSCME, SEIU, and UAW have chosen to make outsourcing a prominent labor/public relations issue suggests that the correlation continues to be perceived by the union movement to be significant, notwithstanding the efforts of the “new” leadership of the AFL-CIO to break that link with respect to union political power by “taxing” member unions and their members to contribute both money and militancy to the 1996 election cycle. Although outsourcing may lead only to the diffusion of union membership either within or between unions, as opposed to the diminution of union membership, this fact has not received a great deal of attention. The net effect on total union membership of outsourcing from one union employer to another union employer is unclear, although the effect on the membership of the union at the outsourcing employer is not. The redistribution of membership within a union as a result of outsourcing is likely to have little immediate impact on union power. However, as even the best case scenario presented above suggests, it may have significant long-run deleterious effects on union bargaining power by taking labor out of a sheltered market and putting it into potentially competitive market. This is particularly likely to be the case when outsourcing (1) places the outsourced work into a different industry or wage contour and (2) creates the possibility of moving from sole-source to multiplesource supplier arrangements. The redistribution of membership between unions as a result of outsourcing is unlikely to have a major impact on union power broadly defined. It can have, however, serious deleterious effects in terms of the power of an individual union, as suggested in my “competitive case” scenario. The fact that one union’s losses due to outsourcing may be another union’s gain is of little consolation to the losing union. That act, in and of itself, may make the threat of outsourcing a potential union “Achilles heel” at the bargaining table by placing it into competition with some other, perhaps unknown, union as well as possibly nonunion competition. The most obvious threat to union power comes from outsourcing that diminishes union membership overall by transferring jobs from union to nonunion employers. The willingness and ability of employers to move work/jobs entirely out of the orbit of union control constitutes, in terms of power and particularly union bargaining power, a revisitation of the phenomenon of the “runaway shop.” It may also be viewed as a proactive form of hiring permanent replacements for (potentially) striking workers. The union options in dealing with such a challenge are to endeavor to preclude outsourcing through legislation or collective bargaining or to chase the work by organizing the unorganized, hopefully with the help of the unionized outsourcing employer. Neither option may be easy, but as the 1996 auto industry negotiations suggest, the former may be less difficult than the latter. The possibility that outsourcing from union to nonunion employer may provide unions with the power to organize from the top (outsourcer) down (outsourcee) cannot be entirely ignored as the issue of supplier “neutrality” reportedly was raised in the 1996 auto negotiations. The adverse effects of outsourcing on union political and financial power, by virtue of its impact on the level or distribution of union membership, can and may well be offset by an increase in union activism—as measured by dues levels, merger activity, organizing commitment, and political action. The adverse effects of outsourcing on union bargaining power are more problematical from the union standpoint. The effect of outsourcing, whatever its rationale or scenario, appears to be to put union labor back into competition. Thus, outsourcing constitutes yet another challenge to the labor movement in its ongoing and seemingly increasingly unsuccessful battle to take and keep U.S. union labor out of competition by proving itself able and willing to organize to the extent of the market and standardizing wages in that market.     

Local union mergers: Frequency,forms, and national union policy

This paper presents the results of a survey on the characteristics of almost 1,900 union mergers. It was found that a large proportion of national unions had some local mergers, but a majority of cases occurred in a few very active unions. Most mergers were absorptions of smaller locals into larger ones. Formal requirements for local mergers, either through general policies or constitutional clauses, were infrequent, but national level governing bodies appear to have substantial control over the approval of mergers. Suggestions are made for the further study of local mergers in relation to bargaining structure, local autonomy, membership participation, and local effectiveness.     

How union mergers affect membership participation

Using data from a survey of union members, we explore how an amalgamation of two Swedish unions affects membership participation. The research literature on the topic is mostly anecdotal and speculative, suggesting that mergers might have detrimental effects on membership participation because they create large unions with centralized governance and administration. But in this study, we do not find a broad-based decline in membership participation measured before and after merger as well as in relation to a comparison union that did not merge. These results are discussed in terms of the national context of union mergers in Sweden and the ways that mergers are negotiated, presented, and implemented to preserve membership participation. An earlier version of this paper was presented at the Third International Conference on Emerging Union Structures: Reshaping Labour Market Institutions, Canberra, Australia in December 1997. The data collection for this project was supported by funds from the National Institute for Working Life in Stockholm.     

Perceptions of union power,service, and confidence in labor leaders: A study of member and nonmember differences

Attitudes toward specific aspects of unionization held by the subjects of large national samples of the U.S. work force (the1977 Quality of Employment Survey) and the general population (the1972–1978 General Social Surveys) are examined in two separate analyses. Comparisons of the attitudes held by union members and nonmembers are made on specific dimensions of union power and service and confidence in union leaders. Nonmembers are found to have stronger perceptions that unions are influential in running the country and that unions are stronger than employers. Conversely, union members have stronger perceptions that unions offer protection, job security, improve wages and conditions of work, are worth their dues, and have greater confidence in union leaders. Discriminant analysis of data over a five-year period also revealed that union members have a stable higher confidence level in union leaders than nonmembers. Explanations for such union member and nonmember differences are hypothesized. The authors wish to acknowledge the assistance of Brent Schooley. An earlier version of this paper was presented at the Western Academy of Management meetings at Monterey, California, 1981.     

American trade unions and public approval: Can unions please all of the people all of the time?

Public opinion about labor unions has long been viewed as an important determinant of industrial relations outcomes. Yet, analyses of changes in union popularity over time have been largely qualitative and have focused on the impact of short-term idiosyncratic events. This paper provides a quantitative analysis of the determinants of American public approval of unions from 1936 to 1991. Hypotheses relating to the union wage advantage, strike activity, the national unemployment rate, and World War II, receive the strongest support. The implications of these results for organized labor and future research on attitudes toward unions are discussed.     

An analysis of the barriers to women becoming local union officers

This study examines the importance of barriers to the participation of women in local union activities. Male and female officers of local unions in Canada were surveyed to determine the importance of eight barriers to participation. The results indicate that the most important barriers are that women hold two jobs (at home and at work) and have no time for union activities; child care responsibilities prevent greater participation in unions; and women underestimate their abilities and believe that male employees are better suited to union officer positions. The analysis also explores differences in male and female ratings. Conclusions are reached regarding the importance of overcoming barriers at local levels in reducing the under-representation of women in national union governance. This study was supported by grants from the Canada Department of Labor and the University of Windsor. The authors wish to thank Elizabeth Rutherford for her research assistance.     

The union image: Concept,programs and analysis

Several key labor leaders have expressed the need to improve the public image of unions. This paper defines the core elements of the current negative image and describes factors contributing to it. The basic direct and indirect approaches employed by unions to improve their image are systematically presented. It is concluded that prospects for image change are minimal due to limited image building efforts overall, lack of strategic thrust and union coordination, limited understanding of the nature of the image, and virtually no evaluation of image building efforts.     

Union presence and executive compensation: An exploratory study

While executive compensation has historically attracted considerable attention and controversy, this issue is becoming increasingly more contentious as organizations attempt to cut labor costs through reengineering and downsizing. Unions, governments, and workers are becoming critical of seemingly excessive executive compensation while employees are asked to make concessions. In fact, many labor organizations are specif-ically targeting executive compensation for criticisms: Witness their web sites tracking executive pay and numerous press releases and public statements. However, do unions, through their presence in a firm, affect executive compensation? While there is con-siderable research on the determinants and correlates of executive compensation, the literature is silent on the role of unions. We investigate the distinctive effects of union presence with data on a sample of Canadianbased metalmining firms. The differences between union and nonunion firms, as well as the unique effects of union presence, are analyzed and future research suggested.     

The effects of management practices on union election returns

This paper examines the importance of management suppression tactics on union activity in the United States. NLRB data on individual certification elections which have recently become available for the period 1972–1976 are merged with structural, demographic, and industry characteristics of the 96 largest SMSAs to ascertain the role of strategy versus structure in explaining union outcomes. The measures of election-generated membership outcomes are voter participation, the margin of pro-union votes, and union wins. Union suppression practices under study include consent elections, election delays, formal objections after unions win a certification election, elections overruled because of management unfair labor practices, elections held by management petition, and the number of unfair labor practice charges per representation election. Five of the six measures of suppression are significant determinants of some facet of union expansion after adjusting for structural characteristics of the area work force.     

Trade-Offs in the Labor Union-CEO Compensation Relationship

We examine the relationship between union presence and CEO compensation. Based on the notion that the union taxes the firm's returns, we test whether unions successfully capture a larger share of the firm's returns with respect to the share captured by the CEO. On average CEOs in union firms are paid 19 percent less than those in nonunion firms, after controlling for several determinants of CEO pay. CEO compensation risk is lower in union firms because the reduced compensation risk is a trade-off for the lower level of CEO compensation.     

Do union organizing activities affect decertification?

This paper tests the hypothesis that unions face a trade-off between retaining organized units and organizing new bargaining units. Using cost-benefit analysis, a model is developed which examines the impact of representation elections on the level of decertification activity for the period 1948 to 1979. The results indicate that as unions increase their efforts to organize more employees, they trade-off a loss of membership through decertification. The shift of resources from servicing existing units to organizing new units causes a sufficient change in the benefit/cost ratio for employees to result in loss of union certification.     

The effect of type of union on member-nonmember wage differentials

The union-nonunion wage differential can be decomposed into bargaining and membership effects. While some analysts suggest that they are not separable and that bargaining power is a function of membership density, others argue that they are separable and that the former derives from monopoly power while the latter stems from socialization. Our results support the latter view. We derive estimates of bargaining and membership effects for workers covered by national, industrial, and craft union contracts as well as for all covered workers taken together. Since industrial and craft unions differ in structure and organization, we expect differences in the socialization effects among types of unions. It is clear from our results that union membership per se in each case gives a large positive wage advantage.     

Arizona construction labor: A case study of union decline

Labor relations in the Arizona construction industry provide an interesting and informative case study of what occurs when unions push costs beyond what the market will bear. The industry was highly unionized, even including the homebuilding sector, in the late 1960s and early 1970s, when a series of strikes and major wage and benefit increases led one sector after another in the industry to turn to open-shop contractors. The construction unions and unionized contractors attempted to counter this move by agreeing to wage, benefit, and rule concessions, but the trend to open-shop work continued. Currently, the unions control only a small segment of the work with little prospect of improvement. Although special factors may have reduced union power more in the Arizona construction industry than nationally, developments in this state do indicate a probable decline in the national union share of work beyond what was found in the 1984 nationwide study. Professor Emeritus of Management; former Director, Industrial Research Unit and Chairman, Labor Relations Council. David O. Northrup processed the Dodge data and constructed the tables.     

Challenges to professionalism and union voting intentions: The case of pharmacists

Using data from a national survey of pharmacists who are members of the American Pharmaceutical Association, we examine the union voting intentions of employee pharmacists. We find that union instrumentality regarding professionalism is a primary predictor of union voting intent among these employees. In addition, this predictor mediates the relationship between the level of professionalism at a pharmacist’s current employment situation and his or her expected union vote. Also important to union voting intent are respondent beliefs about union instrumentality regarding pecuniary issues, prior union experience, as well as overall job satisfaction. Implications for employers, unions, and researchers are drawn. We thank Mary Graham, Jann Skelton, Paul Swiercz, Terry Thomason, and participants at the Seventh Bar-gaining Group Conference at Michigan State University for their comments on earlier versions of this paper. This research was made possible by a grant from the American Pharmaceutical Association.     

Perspectives on union corruption: Lessons from the databases

Most of the surprisingly small number of studies of union corruption done over the years have focused either on longitudinal analysis of particularly aggressive unions in their prime or on the relationship between union leaders and organized crime characters who have acquired middle names in quotes. Since the 1930s, these studies have usually been based on prosecutorial initiatives of federal or state agencies seeking to rein in Mafia, Cosa Nostra, or Outfit crime families for whom control of unions has been a major income source, not the unions, themselves. I use two new, recently available data sources that allow an overview of the whole spectrum of union corruption, that quantify it, and that differentiate certain aspects of it from the corruption found in other societal organizations. My analysis reveals that union corruption is both broadly practiced and multifaceted, with some forms having brutal ancient antecedents not yet completely lost while others are new and not yet completely developed. Only a few are broadly shared with businesses or other societal organizations. Overall, I identify 25 separate categories of significant union corruption and find that among these embezzlement remains the most common, but kickbacks and malfeasance with respect to pension plan management are of much greater financial concern. Peculation associated with gaining and maintaining high union office together with the bloated perks and emoluments that obtain thereto fuel internal corruption without diminishing the practice of extortion, bribery, conspiracy, selling labor peace, licensing loose contracts, selling job access, and other traditional external corrupt practices. All are a blight on organized labor.     

Involvement with unions,union belief perspectives,and desires for union membership

This article addresses two theoretical problems associated with models of desires for union membership. First, does union involvement influence desires for membership by (1) locating unions in the routines of everyday life and thus engendering habitual desires for membership or (2) by shaping general beliefs about unions and, thus, creating ideological desires for membership? This study of the working class in Hamilton, Ontario supports both explanations, although the path of influence through beliefs is stronger. Second, why do a number of general union beliefs have net effects on desires for membership? This study finds that different types of beliefs are salient for different groups of workers. Therefore, a wide range of general beliefs must be considered if the desires for union membership of a diverse population are to be adequately predicted.     

Greening transport in Sweden: the role of the organic intellectual in changing union climate change policy

ABSTRACT

This article engages with the role of the individual in transforming union organizations by discussing the experiences of Ulf Jarnefjord and his efforts to introduce climate change policies into the Swedish Transport Workers’ Union [Transportarbetareförbundet]. Research investigating the integration of climate change policies into the agenda of Swedish trade unions has identified a disconnect between policy development among leaders on the one hand, and engagement among members on the other. Employing the life-history interview method, and the analytical concept of ‘organic intellectual’, this article focusses on the ways in which Ulf, as a regional health and safety officer, has experienced engaging with climate change issues in relation to both members and the leadership of his union. His experiences point to the importance of learning about how climate change and production impact on the everyday lives of members for developing and mobilizing support for climate change policies in unions.     

General Feelings Toward Unions and Employers as Predictors of Union Voting Intent

The union voting intention literature shows that many nonunion employees who indicate that they think unions are instrumental in increasing wages, benefits, and working conditions would vote against forming a union. Although American workers have often been characterized as pragmatic with regard to their support for unions, the “disconnect” between union beliefs and union voting intentions just described suggests that more subtle forces are at work. In this paper, it is shown empirically that union instrumentality is a limited predictor of union voting intentions for a recent national cross-section of workers. Rather, more general feelings toward unions and employers are primary. These accounted for a large portion of the variance in union voting intentions, with general feelings towards unions by far the most critical predictor. A concluding section discusses whether the results may reflect changes in union power and changes in employee views of unions. Areas for future research are discussed.