Small business intimidation is closer to becoming a reality with the introduction of the Employee Free Choice Act (EFCA) in the U.S. Senate (S. 560) and U.S. House of Representatives (H.R. 1409) on March 10, 2009. If EFCA, or card check, stands the test of the legislative process it will drastically change the laws governing how employees may unionize and the rules governing business. EFCA is the number one job-killing piece of federal legislation the business community will face in 2009.
Every business is vulnerable to the effects of EFCA. Here are ten things you need to know about the bill:
There are no exemptions for small business in the Employee Free Choice Act. In fact, of the 2,649 secret-ballot elections conducted by the National Labor Relations Board (NLRB) in 2005, more than 20 percent involved workforces of fewer than 10 employees and 70 percent involved workforces of fewer than 50 employees. This bill affects every employer.
Under current law, if a union gathers signatures from 30 percent of employees, it may request an employer to voluntarily recognize them. If an employer denies recognition then the union may take those same signatures to the NLRB and request a secret-ballot election. Employees become unionized if a majority votes in favor of the union during the election. Under EFCA, employees can become unionized if only a simple majority sign the cards.
Proponents of EFCA claim that employees are “free” to “choose” between either a secret-ballot election or a card check campaign as the method by which their union is to be recognized. When you consider the fact that unions win about half of all secret-ballot elections but are successful on 90 percent of all card-check campaigns, it’s clear which method union organizers will choose for employees.
Independent contractors are fair game during a card check campaign. Under EFCA, independent contractors can count toward the majority of workers necessary to unionize a business.
There are no time limits on card collection. The unions would be able to collect these cards from employees and independent contractors for as long as it takes to get 50 percent plus one to sign a card. Once a card is signed, it gets counted, even if your employees change their minds.
The Employee Free Choice Act really should be called the Small Business and Employee Intimidation Act. Why? Because by taking away employees’ rights to a secret-ballot election, it will most likely create an environment of union intimidation and coercion of employees. Moreover, half of employees lose their right to express themselves with regard to union representation.
Card check is a silent process. Unions do not need to announce their intention to conduct a card check campaign. Therefore, employers may never know their business is being unionized until it is too late. If EFCA is passed, employers may be fined $20,000 for communicating the harsh impacts of unionization with their employees during a unionization campaign they may know nothing about. Employers lose their ability to communicate freely with employees.
If no agreement on contract terms is met with union reps in 90 days, employers will be forced into 30 days of mandatory mediation. If no contract is agreed to during mediation then a federally-appointed arbitrator will determine the terms of a two-year contract to which employers must adhere and have no right of appeal.
The contract terms set by a federally-appointed arbitrator will strip away employers’ ability to give employees raises for a job well done, provide affordable health care or discuss workplace standards with employees in order to meet their needs. All of this, along with every other face of business, may be set in a binding two-year contract on which neither the employer nor employees may provide input.
Big Labor argues that the bill would stimulate the economy through better-paying jobs. Wrong! The truth is EFCA is an assault on free enterprise that will permanently cripple the economy. Proponents say the bill would make it easier for labor to unionize all businesses and restore fairness in the workplace. Wrong again! EFCA is not about workers’ rights; it’s about dollars and cents for the union coffers.
EFCA is the number one priority for Big Labor. After spending an unprecedented $450 million to elect more congressional allies in last year’s election, Labor is looking for a big payback-passage of EFCA as soon as possible. It is imperative the business community get engaged in the fight to stop EFCA. Federal lawmakers in Washington, D.C. must be contacted and urged to OPPOSE the Employee Free Choice Act. Time is running out. Action is required.
Go to www.lvchamber.com today, click on the STOP EFCA icon on the upper-right side of the home page and send a letter to federal legislators asking them to stop this job-killing legislation.
If you are interested in learning more about EFCA and what you can do to fight it, please contact the Las Vegas Chamber of Commerce at 641-5822 or go to our web site at www.lvchamber.com.
More Chamber: 
6671 Las Vegas Blvd. South, Suite 300, Las Vegas, NV 89119
Phone: (702) 641-5822 Info Center (702) 735-1616 Fax: (702) 735-0406