And if you create work rules, working conditions, and safety standards that keep people safe, productive, and motivated … and if you treat people with fairness, equality, dignity, and respect in all your dealings and communications with them … then why would you be afraid of having your people join a union?
Lesson #3: “Ohhh … you’re not doing those things now, are you?”
***
Now, more that three decades after those “Employee Relations” meetings, my questions seem more eminently reasonable than ever before. So, to those managers who are wondering how to keep their employees from hitting the fast-track toward union membership, I offer these thoughts on living in a post-ECFA world, AKA “Employee Relations”:
First, if you are routinely taking care of the business I mentioned above, then you probably have little to worry about.
Let me put a finer point on it: if you have taken care of your employees as well as you have taken care of yourself, Mr. CEO, then you have little to fear from a union. It’s unlikely your employees will see much value in paying an intermediary to deal with you.
Second, if you are not routinely taking care of the business I mentioned above, it’s never too late to start. Right now, job security is everyone’s top priority so maybe you can start there.
Whatever you do, it must reduce the gap between what your workers get and what you want to give ... before an intermediary steps in on their behalf and reduces the gap for you. You don't need to close the gap entirely, just reduce it to the point where the difference is not worth the union dues to them. And if you are not sure how to proceed, try asking them how they would like you to proceed.
Third, if you are tempted to respond with a union-busting initiative of your own … don’t do it. Your people are not blind; they are not stupid. When you say, “Our concern is only for your well-being and this union is not in your best interests,” they will see you only as a fraud. If you were so concerned about their best interests, you would have acted on those concerns by now. The fact that you have not done so is the reason they sign authorization cards.
Fourth, instead of dwelling on all the reasons why you think the company will be disadvantaged by a union – higher costs, higher prices, loss of competitiveness, and so on – think about how you can make the change work to your advantage: access to new markets, higher quality, greater productivity, a more stable workforce, faster innovation. If it helps. think of the old saying: “When life hands you lemons, make lemonade.”
Fifth, remember that if your employees vote to join a union – whether by traditional secret ballot or by the expedient of signing authorization cards – the really important vote is yet to come. That is the vote to ratify a contract. The union will have certain demands; you should have reasonable counters. You are required to negotiate in good faith; you are not required to roll over and play dead. For everything you give, try to get something in return.
Sixth, you now have a new business partner – the union. I suggest you add union representation to your board. It is very much to your advantage to have the union and, by extension, your employees, see the world in the same way you do.
Seventh, once you have a contract, carry out all its provisions in good faith and insist that union leadership do the same. This shows everyone that you take your people and their issues seriously. It also has the advantage of surfacing problems early. That is never a bad result.
Last, recall the old Industrial Relations adage: “management gets the union it deserves.” Your good faith will be met with good faith. Your commitment to workers will bring their commitment in return. And if you manage your people as carefully as you manage your capital, both will deliver superior returns that far exceed their costs.
That is when value creation really starts.
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