House Passes Bill to Expedite Union Contract Negotiations

The labor movement has long criticized the excessive time it takes to secure a first contract after a successful union election. According to Bloomberg Law, this process averages 465 days, with some cases extending even longer. For instance, Starbucks baristas in Buffalo, N.Y., who unionized in late 2021, and Amazon warehouse workers in Staten Island, who unionized in spring 2022, still lack contracts.

The House recently approved a bill, known as the Faster Labor Contracts Act, by a vote of 230 to 193. This bill mandates employers to engage in timely negotiations and allows federal mediators to step in if an agreement isn’t reached within 90 days. If necessary, arbitration would soon follow. Among the voters, 20 Republicans joined Democrats in passing the measure.

No more stop the steals. You got an election, you can get a contract, said New Jersey Democrat Donald Norcross, who sponsored the bill. He emphasized its significance as the strongest worker protection since before World War II. Labor leaders echoed his sentiment, describing it as a critical step toward holding corporations accountable.

Republican opponents argue the bill represents government overreach, which they claim is detrimental to employers, employees, and the broader economy.

Discharge Petition Pushes Bill Forward

The bill reached the House floor via a discharge petition, a tactic increasingly used by Democrats to bypass House Speaker Mike Johnson. This requires a simple majority. Seven Republicans joined Democrats in signing the petition, advancing the Faster Labor Contracts Act to this stage.

Now heading to the Senate, the bill faces more challenges, though it has support from several Republicans, including Missouri Senator Josh Hawley.

Expedited Contract Timeline

Historically, Democrats have sought broader reform of federal labor law through the PRO Act. The Faster Labor Contracts Act includes one provision from that effort, enabling a streamlined timeline for union contract negotiations. Within 10 days of a union vote, employers must begin talks.

If no agreement happens after 90 days, the Federal Mediation and Conciliation Service can be involved. Should discussions remain unproductive after another 30 days, a three-member arbitration panel, considering various factors like financial status and comparable wages, will resolve the dispute. The contract would be binding for two years or until a mutual agreement is reached.

Opposition Views

The CHRO Association, representing chief human resource officers of 350 large corporations, labeled the measure as “draconian” in a letter to Speaker Johnson. Gregory Hoff, the association’s general counsel, acknowledges the need for reform but argues that government-imposed contracts may not align with on-ground realities.

Additionally, the Federal Mediation and Conciliation Service is understaffed, with only about 90 employees. This reduction, partly due to a previous executive order, raises concerns about the agency’s capacity to manage potential disputes.