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Big Business Likes Arbitration—If It Can Control the Process

by Tula Connell, May 15, 2009

Opponents of the Employee Free Choice Act, desperate in their efforts to kill the  proposed legislation that would level the playing field for workers seeking to form unions, have come up with another line of attack. They are making a lot of noise over the bill’s arbitration provision. The argument is just another straw-man attempt at gutting legislation that would enable more workers to have a voice on the job. (And one more sign of desperation—to wit, the trotting out of widely loathed figures like Dick Cheney and Karl Rove to attack the Employee Free Choice Act.)

Here’s the deal. Even after employees select a union to represent them, they need to bargain a first contract. But there’s no incentive for management to bargain in good faith. The longer contract negotiations are dragged out, the less likely one will ever be settled. In fact, nearly half of workers are denied a first contract, even when they’ve won their union.

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