Michigan

The Employee Free Choice Act and Michigan Businesses

What is the Employee Free Choice Act (EFCA) and how could it affect Michigan businesses? The EFCA is a proposed piece of legislation that would effect a dramatic overhaul to the National Labor Relations Act. The National Labor Relations Act is the law that governs unions in the workplace.

The EFCA would do away with the secret-ballot elections for union certfications where more than half of employees sign union cards. In addition, the EFCA would mandate binding arbitration of first labor contacts after 120 days and would also enhance penalties for a number of unfair labor practices.

The EFCA was first introduced in February, 2007 in the U.S. House of Representatives. It passed the House in March of 2007, and was subsequently placed on the Senate's calendar for consideration. It is currently being considered in a Senate committee. The EFCA has the nearly unanimous support of the Democratic Congressional and Senate caucuses. Also, President-Elect Obama has vowed to sign the bill into law if it is passed by Congress.

There is a lot of political rhetoric on both sides of this bill. Management views this legislation as an attempt to unfairly strengthen unions and the power of union bosses by unfairly targeting and intimidating workers who do not want to be a part of a union. Labor views the legislation as a necessary means to ensure that workers who want to organize a union in their workplace will be able to do so without undue interference from management.

Regardless of your ideological leanings, it is important for every business owner to become familiar with this legislation, as it appears that its enactment is all but inevitable. You can read a copy of the bill that was placed on the Senate's calender by clicking here.

Full post as published by Michigan Business Lawyer Blog on November 26, 2008 (boomark / email).