Employee Free Choice Act: Are You Ready?

On the horizon is the biggest change in labor-management relations in more than six decades: the Employee Free Choice Act (EFCA), pending federal legislation that would give unions a much faster, more effective, less expensive way to add members.

EFCA enactment is one of labor’s highest priorities for 2009.  As drafted, EFCA makes three dramatic changes to U.S. labor law:

  1. Eliminates NLRB-supervised, secret ballot elections, replaces them with authorization card signing (“card check”).  If union organizers persuade more than 50% of employees to sign authorization cards, the workplace is unionized.  While the election process gives employers time to communicate their views to employees, stealthy card check drives could be over before businesses realize they’re underway

    Also being discussed as a compromise to card check are “expedited elections,” which would shorten the traditional six-week process to five days or so.  Whereas the current NLRB election process gives employers time to communicate their views on unionization with employees, stealthy card check drives or expedited elections would create tremendous obstacles for employers.

  2. Imposes binding arbitration if the union and employer haven’t reached agreement on a labor contract after 120 days of bargaining.
  3. Sharply increases penalties for employers who commit unfair labor practices:
  • Treble damages for employees who are victims of unfair labor practices
  • Fines of up to $20,000 per incident for employer violations during organizing or bargaining

Although EFCA will make it very hard for employers to maintain a direct working relationship with employees, it can be done – with the right preparation.  The essentials are:

  1. Determine the vulnerability of your organization to a card check campaign
  2. Educate your management, including your board of directors, so that they understand the mechanisms and consequences of EFCA
  3. Reduce the perceived need to join a union by fully engaging employees in the critical elements of your organization.
  4. Train all management to recognize and effectively deal with the first signs of a union card check campaign
  5. Optimize the credibility and accessibility of your corporate communications processes and media


At the right is a list of resources designed to help prepare businesses for this monumental
change in American labor law.