APPENDIX LABOUR MANAGEMENT RELATIONS
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APPENDIX 1: LABOUR – MANAGEMENT
RELATIONS
1
LABOUR UNIONS
• A labour union is a group of workers who have
organized in order to pursue common work-related
goals, such as better wages and benefits, safer worker
conditions, and greater job security.
2
THE BASIC STRUCTURE OF UNIONS
1. Craft Union – workers that have the same
skill or work in the same profession.
2. Industrial Union – workers who are
employed in the same industry regardless
of their specific skill or profession.
3
LABOUR LAWS
• First enacted in 1867
• Canadian laws influenced by British & American
Laws
• Provinces and Territories enact their own labour
laws
• Companies may be under federal or provincial
labour depending on their industry
4
COLLECTIVE BARGAINING: REACHING AN AGREEMENT
• Collective Bargaining is the process by which
representatives of labour and management
attempt to negotiate a mutually acceptable
labour agreement.
• The union represents all the employees
5
RIGHT TO WORK: Union status
1. Union Shop – employers can hire workers who don’t
belong to the union but nonunion workers must join
the union within a specific amount of time to keep
their jobs.
2. Closed Shop – workers must belong to the union
before the employer can hire them.
3. Agency Shop – A firm can hire nonunion workers, but
these must pay union dues and can join the union or
not.
4. Open Shop – workers who are represented by a
union are not required to join the union or pay union
dues.
6
Work interruptions
1. Strike – workers decide when to begin and end the
work stoppage
2. Lockout - work stoppage decided upon by the
employer.
3. Picketing – workers walk outside the employer’s place
of business carrying signs
4. Boycott – when striking workers and their supporters
refuse to do business with the employer during a
labour dispute
7
MEDIATION AND ARBITRATION
1. Mediation – bringing in an outsider who
attempts to help the two sides reach an
agreement
2. Arbitration - bringing in an outsider with the
authority to impose a binding settlement on
both parties.
8
ADMINISTERING A COLLECTIVE BARGAINING AGREEMENT
Workers who believe they have been treated
unfairly (or contrary to the contract) will file a
grievance.
The labour contract spells out the grievance
process
It will outline a process by which the employee
can get their complaints answered or met.
9
UNIONS AND JOB SECURITY
• Grievance procedures give workers represented by
unions more protection against arbitrary dismissal than
nonunion workers.
• Over the years, several laws have been enacted that also
give nonunion workers some protection against arbitrary
dismissal, though not as much as union workers.
• Several unions have agreed to wage cuts and other
concessions to preserve jobs.
10
UNIONS AND PRODUCTIVITY
• Critics argue that unions’ work rules hurt
productivity.
• Defenders argue that the decreased employee
turnover make workers more productive.
• Evidence has supported both sides.
11
THE CHALLENGE OF DECLINING UNION MEMBERSHIP
• Union membership in the public sector is alive and well.
– Teachers, nurses, and provincial and municipal workers
• Union membership in the private sector is declining
– Change in the Canadian economy from manufacturing to
service
– Aggressive anti-union strategies by some companies
– Laws provide some of the protections that unions offer
12
Appendix 2: BUSINESS LAW
13
THE PURPOSE AND ORIGIN OF LAW
• Laws – the rules governing the conduct and actions of
people within society that are enforceable by the
government.
• Business and civilization could not function without the
rule of law.
14
THE NEED FOR LAW
• We need laws to:
– Promote stability and order
– Protect individuals from physical or mental harm
– Protect property from damage or theft
– Promote objectives and standards of behaviour that society
deems desirable
– Discourage objectives and standards of behaviour that society
deems undesirable
15
SOURCES OF LAW
Constitutional Law -
The Canadian Constitution Administrative Law -
is the supreme law of the laws established by
land and laws cannot be in government agencies
conflict to the constitution.
Statutory Law - Acts, Common Law - or case
statutes, or bylaws passed law, arises from court
by appropriate government decisions. Quebec is
bodies governed by civil code.
16
CIVIL VS. CRIMINAL LAW
• Civil Law – disputes between private citizens.
– Breach of contracts or torts. A tort is a private wrong
that results in physical or mental harm
– Intentional Torts arise from willful acts
– Negligence arise from unintentional acts
• Criminal Law – involves cases where the Crown
investigates and prosecutes individuals who have
harmed society.
17
CONTRACTS: THE TIES THAT BIND
• A contract is an agreement that is enforceable in a court
of law.
– Contracts do not have to be formal
– Courts may decide that a contract exists because of behaviour
that indicates a contract
• A contract that is explicitly spelled out in writing or
words is an express contract.
• A contract based on behaviour is an implied contract.
18
WHAT MAKES A CONTRACT ENFORCEABLE
1. There must be mutual assent.
2. Both parties must offer consideration.
3. The parties must have legal capacity to enter the
contract.
4. The contract must be for a legal purpose.
5. Some contracts MUST be in writing.
19
BREACH OF CONTRACT
• When one of the parties fails to satisfy the terms of an
agreement, the injured party must seek a remedy by
suing in civil court.
• Specific Performance requires the party who breached
the contract to do exactly what the terms of the contract
state.
• Compensatory Damages are monetary payments the
party who breached the contract must pay to
compensate the injured party.
20
SALES
• A sale occurs when title (legal ownership) to a good
passes from one party to another in exchange for a
price.
• Title passes when the seller’s performance of duties has
been completed or as outlined in the contract.
• The contract specifies who bears the risk of loss,
damage, or theft during transfer; if the contract is silent
to the issue, it may defer to the party with insurance
21
PRINCIPLES OF EMPLOYMENT AND AGENCY RELATIONSHIPS
• Employers have the right to expect employees to
– Possess the skills they claimed to possess and employ them
– Perform a reasonable amount of work while on the job
– Obey company rules and carry out reasonable instructions
– Work only for the employer during hours of employment
– Treat trade secrets and other private information
confidential
• Employees have the right to expect the employer to
– Compensate the employee for work performed
– Provide a reasonably safe work environment
– Satisfy terms in the employment contract
22
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