The National Labor Relations Act (NLRA) that came into being in 1935 prevents employees from taking part in unfair labor practices as well as safeguards workers’ rights against the union ruining activities put into place by some employers. Before the signing of the Act in 1935, employers utilized many tactics to minimize and inhibit the growth of the union. The tactics ranged from active opposition to hard labor which involves, the open-shop movement, blacklist of the workers, the American plan, the Mohawk Valley formula as well as violence during the organizing drives of unions.
The term open-shop movement comes from the conceptualization of employers needing employees to work in an open (non-union) company. As a vehement response to the labor tension immediately after World War I, trade associations, employers, commerce chambers and their equivalent supporters utilized open-shop movement to cripple the organized labor movement in 1902. Employers blacklisted people by denying them employment because of a history of trade union activity or support for unions. Because of blacklisting, workers who wanted to join labor unions lost their means of livelihood. Employers actively blacklisted union members.
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Employers also used the American plan to minimize union growth. Prominent businesspeople and owners of small businesses encouraged other companies to disapprove negotiations with labor unions in the country. They came up with a public relations campaign to convince the opinion of the public that closed labor unions, as well as union shops themselves, were “un-American.” Other areas of the American plan advocated for an extensive program of economic campaigns, political lobbying, as well as efforts to destroy unions by looking for labor decrees, blacklisting union workers, and organizing guard sessions that were private.
The Mohawk Valley formula involved discrediting the leaders of unions, threatening the public with violence, utilizing local vigilantes and police to spook strikers. The method also included creating associations of ”loyal workers” to incite public debate, employing many replacement workers, consolidating companies, as well as threatening to close industries if people do not resume to work. Violence was also used during union drives. The force was intended to harm union leaders, members, organizers, their families, or sympathizers. Of all the tactics against unions, the open-shop movement, as well as paternalism, would be lawful today.
Unions and employers face many challenges. Union implies more power for employees to bargain for better pay as well as benefits. Nevertheless, for companies, a union suggests having less control and power. Some organizations that are threatened by the thought of their employees being represented by a labor union sometimes turn to various tactics to minimize unions. These tactics can sometimes be damaging to workers and unions.
Unions also face the challenge of domination of the organizations of labor by employees. Some workers are likely to obstruct the regular administrative running of labor organizations. They may do this via bribing the officials of unions as well as victimizing other workers. This may result in weakening of the bargaining power of labor unions. There is also corruption among union officials. There are a variety of incidents of bribery of union officials as well as government representatives by affluent employers. This can bring a lot of problems to the union as the interests of workers cannot be efficaciously represented.
Employers face the challenge of high turnover. In the present society, many employers are losing a lot of workers either because of a weak organizational culture, low wages or personal reasons. High turnover is a problem because hiring new employees can be expensive. Also, employers feel threatened by the formation of many unions that we have today. Unions are beneficial to employees, but employers see it as a challenge because they are afraid that their workers will start demanding high pay rise when they join unions.
In a nutshell, before the signing of the NLRA in 1935, industrialists were strongly against unions, and they employed various tactics to minimize and inhibit the formation of unions. Nonetheless, unions are beneficial as they champion for the rights and benefits of employees.