Differences in Human Resource Management

in Unionized and Nonunionized Firms

Recruitment: Setting the pool of applicants
Selection: Picking from the pool
Federal law dictates policies in both union and
nonunion firms
Prehire agreements in construction limit hiring to
unionized employees. Near closed shop conditions
if hire from union hiring hall. Unions may limit pool
for promotion, transfer.

Differences in Human Resource Management

in Unionized and Nonunionized Firms
Training and development
Unions may control admission to training programs
Unions may restrict jobs to trained employees
Unions may control the training program through
apprenticeships, or
May jointly administer training, content and admissions
with the firm.

Differences in Human Resource Management

in Unionized and Nonunionized Firms
Personnel evaluation
Unions want to treat workers similarly, so merit
systems are opposed
Absent rewards for individual performance,
individual evaluations lose importance in union
settings
Strong preference for seniority system

Differences in Human Resource Management

in Unionized and Nonunionized Firms
Discipline
Union settings have grievance procedures with
right to arbitration
Difficult to discipline, suspend or dismiss a
union worker without challenge from union
representative
Workers cannot be protected from clear
violations of contracted work rules

Differences in Human Resource Management

in Unionized and Nonunionized Firms
Employment at Will
Union workers protected from dismissal without
cause
Prior notice requirements
Management still retains the right to direct its
workforce, but some of these rights may be
bargained away

Differences in Human Resource Management

in Unionized and Nonunionized Firms
Compensation
Internal equity emphasized
Merit systems discouraged
Group incentives may be ok
But programs that strengthen bond between management
and workers are not acceptable

Emphasis on benefits

Seniority emphasized

Differences in Human Resource Management

in Unionized and Nonunionized Firms
Teams
Electromation
Action committees composed of management and
labor proposing policies on pay, absenteeism, and
attendance bonuses, were subverting the unions
role of negotiating over terms and conditions of
employment.

du Pont
Committees of workers and managers working on
safety and recreation issues were bypassing the
unions role of negotiating over terms and conditions
of employment.

Differences in Human Resource Management

in Unionized and Nonunionized Firms
Teams
Crown Cork & Seal
From inception, firm had joint management-worker
committees that set policy on production, quality,
training, attendance, safety, and maintenance are
not taking on union role of dealing with
management, but are management.