How Do Unions Really Feel About Arbitration?

Jul 2, 2009

Labor's top priority, the misnamed Employee Free Choice Act, has three core components; card check organizing, increased employer penalties and compulsory interest arbitration for collective bargaining agreements. While all of these provisions would be harmful to job creation and economic recovery, interest arbitration poses a special threat. Yet while the unions seem intent on forcing this process on employers, more evidence that they are not all that interested when it comes to their business.

No International Union has ever submitted its very future – its membership, its organizing jurisdiction, and its financial resources – to arbitration.

[Unite Here President John W. Wilhelm’s May 1, 2009 letter to SEIU President Andy Stern] 
 
I am responding to your latest in a long line of calls to solve the UNITE HERE – SEIU dispute through binding arbitration... No International Union would agree to put its future members, its jurisdiction, and assets in the hands of an arbitrator.

[Unite Here President John W. Wilhelm’s June 15, 2009 letter to SEIU President Andy Stern]

The Chamber has always said that EFCA’s binding interest arbitration provision gives an enormous advantage to unions, whose interest in a contract is primarily collecting dues, at the expense of employers, who would have to pay the bills. At least one union seems to understand this imbalance, and has offered up an apt analogy.

Suppose a burglar broke into your house, stole your property, and demanded ransom.  Then the burglar contacts you to demand that a third party be given the right to divide up the stolen property. Would anyone accept such an offer?   You and [Bruce] Raynor plotted to break up UNITE HERE, remove assets from the Union’s control, and organize in UNITE HERE’s traditional industry jurisdictions.  Having made this attempted burglary you now want to have a third party divide up the spoils.  Only UNITE HERE would be at risk in such an arbitration – SEIU would have no risk.  No victim of a theft would ever agree to such a proposition.  No International Union would agree to put its future members, its jurisdiction, and assets in the hands of an arbitrator.

[Unite Here President John W. Wilhelm’s June 15, 2009 letter to SEIU President Andy Stern]

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